PT  - JOURNAL ARTICLE
AU  - Daminger, Alexander
AU  - Dascher, Kristof
TI  - Homeowner Subsidy Repeal and Housing Recentralization
AID  - 10.3368/le.081821-0095R
DP  - 2023 May 01
TA  - Land Economics
PG  - 283--301
VI  - 99
IP  - 2
4099  - http://le.uwpress.org/content/99/2/283.short
4100  - http://le.uwpress.org/content/99/2/283.full
SO  - Land Econ2023 May 01; 99
AB  - Subsidizing homeownership decentralizes cities, as Muth (1967) suggested over half a century ago. This article focuses on the related question of whether repealing a homeownership subsidy recentralizes cities. This question is relevant today, given the ubiquity of homeownership subsidies. We provide a first quasi-experimental test of a subsidy repeal’s spatial effects by examining Germany’s 2005 homeownership subsidy reform. We find that repealing the subsidy contributed to recentralizing Germany’s cities. Since recentralization helps abate carbon dioxide emissions, repealing a homeownership subsidy also helps mitigate climate change.