Abstract
Real estate taxes, as a type of tax instrument, assume the role of providing local revenue and regulating the real estate market in many countries. Out of the stimulating effect of consumption on the economy, scholars studied the impact of real estate taxes on consumption. This paper constructs a model of housing consumption expenditure applying Keynes' absolute income hypothesis. Using data from Japan, the UK and the US Office of National Statistics, an empirical study is conducted through OLS regressions, fixed effects models and random effects models. The results show that real estate taxes are negatively related to residential housing consumption expenditure and that the imposition of real estate taxes significantly reduces residential housing consumption.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: Advances in Economics, Management and Political Sciences
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
