A low cost of capital for homebuyers (from subsidized mortgages) is misleadingly framed as a consumer benefit because it artificially raises house prices; the real comparison is buying a house with a subsidized $200,000 mortgage versus an unsubsidized $180,000 mortgage, with the distributional benefits depending heavily on timing.
causalpending
Speaker
Russ RobertsEvidence Quote
“that low cost of capital for homebuyers helps raise the price of houses artificially”
Created: 6/13/2026, 7:04:06 PM
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