Size of Home, Home Ownership, and the Mortgage Interest Deduction

This paper offers an empirical test of the effect of the mortgage interest deduction (MID) on both the extensive (own vs. rent) and intensive (size of home) housing purchase margins. Using state level differences in MID availability to identify, I examine this relationship using standard ordinary least squares, instrumental variables, regression discontinuity, and sample selection estimation techniques. I find the MID to be responsible for a 10.9–18.4% increase in the size of home purchased, but that no relationship exists between the MID and home ownership. These results imply an elasticity of home size with respect to changes in user cost between −1 and −1.4

Russia’s Energy Diplomacy in the Baltic States

Estonia, Latvia, and Lithuania, or, “The Baltic States,” are unique in that they are the first and only former Soviet Republics to join institutions aligned with the West, joining both the European Union (EU) and the North Atlantic Treaty Organization (NATO) in 2004. This move was a reflection of clashing cultural and political values that had been present before their integration into the Soviet Union during the Second World War as a result of the Soviet-Nazi non-aggression Molotov-Ribbentrop pact. Additionally, after years of Soviet repression, the Baltic States developed a distinctly anti-Russian stance, as Russia was the most dominant country of the Soviet Union and after its dissolution in 1991 (Dudzińska, 2011). In the two decades since the Soviet Union fell and the Baltic States gained their independence, Russia has been asserting both soft and hard power in nearby nations. Additionally, Russia’s energy policy towards their neighbors has significantly affected their relationship with European Union countries through their role as the primary supplier of natural gas

Limiting the Mortgage Interest Deduction by Size of Home: Effects on the User Cost and Price of Housing Across Metropolitan Areas

In this paper, I examine the user cost and home price implications of limiting the federal mortgage interest deduction (MID) based on the square footage of a home. I extend the standard user cost model to include a square footage-based cap on the tax-favored status of mortgage interest. I compare two policy alternatives: one that limits the marginal deduction based on home size, and another that removes the deduction on the home based on home size. There is substantial variation across metropolitan areas in both the number of homes exposed to each type of cap, the user cost increase, and the resulting expected price declines

Review of A.E. Grant, 'Roman military objectives in Britain under the Flavian Emperors'

No abstract available