The Effect on Program Participation of Replacing Current Low-Income Housing Programs with an Entitlement Housing Voucher Program

This paper estimates the effect on participation rates of families of various types of replacing HUD’s largest low-income housing programs with alternative tenure-neutral entitlement housing voucher programs that differ in their taxpayer cost and the relative generosity of the subsidy to households of different types. The estimates of participation in the entitlement programs are based primarily on the five-percent household sample from the 2000 Decennial Census and participation experience in the only entitlement housing assistance programs that have been operated in the United States. HUD’s administrative records provide data on current recipients of low-income housing assistance. The paper explores the sensitivity of the results to the equations used to predict participation. The results indicate that even the entitlement housing voucher program that costs 10 percent less than the current system would serve 50 percent more households in total and many more of each type – white, black, and Hispanic; elderly and nonelderly; families living in metropolitan and nonmetropolitan areas; small, medium, and large families; and households in the first two real income deciles.Low-income housing assistance, housing vouchers, welfare reform two-sided markets, junk mail, email, telemarketing, Do Not Call List, message pricing, the Medium is the Message, market research. Classification-H53, I38, R00

Subsidized Housing, Emergency Shelters, and Homelessness: An Empirical Investigation Using Data from the 1990 Census

This paper uses data on the only systematic count of the homeless throughout the United States to estimate the effect on the rate of homelessness of a wide variety of potentially important determinants, including several major policy responses to homelessness that have not been included in previous studies. It improves upon estimates of the effect of previously studied determinants by using measures that correspond more closely to underlying theoretical constructs, especially by accounting for geographical price differences. It also conducts numerous sensitivity analyses and analyzes the consequences of the undercount of the homeless for point estimates and hypothesis tests. The paper's most important finding from a policy perspective is that targeting the current budget authority for housing assistance on the poorest eligible households will essentially eliminate homelessness among those who apply for assistance. Achieving this goal without concentrating the poorest households in housing projects and without spending more money requires vouchering out project-based assistance. The primary methodological finding of the paper is that the 1990 Decennial Census did not produce sufficiently accurate counts, especially of the street homeless, to permit very precise estimates of the effects of many factors which surely affect the rate of homelessness. The main exceptions are the price of housing and average March temperature. Plausible models of the undercount imply that in regressions with a rate of homelessness as the dependent variable estimators of the coefficients of explanatory variables will be biased towards zero. In regressions with the logarithm of a rate of homelessness as the dependent variable, only the estimator of the constant term will be biased downwards. The unknown magnitude of the undercount precludes predicting the effects of policy interventions on the number of homeless based on the results in this paper and previous studies.Homelessness

Improving Homeownership Among Poor and Moderate-Income Households

Looks at rates of homeownership, trends in federal low-income rental housing assistance, and types of homeownership programs for low-income households