The Effect of Housing Subsidies on Housing Costs in Finland - A Methodology study
Loading...
URL
Journal Title
Journal ISSN
Volume Title
School of Business |
Bachelor's thesis
Unless otherwise stated, all rights belong to the author. You may download, display and print this publication for Your own personal use. Commercial use is prohibited.
Authors
Date
2019
Department
Major/Subject
Mcode
Degree programme
Taloustiede
Language
en
Pages
27
Series
Abstract
This thesis is a literature and methodology survey discussing and analyzing Finnish studies on the effect of housing subsidies on rent. The purpose of this thesis is to achieve a basic understanding of housing subsidies’ effect on rents, i.e. the incidence of housing subsidies and the methods with which the subject has been researched. The main studies discussed are by Lyytikäinen and Eerola (2019), Viren (2013) and Kangasharju (2010). I will also discuss some highly cited foreign studies for reference. Housing subsidies are the second largest income transfer in Finland, so it is very important to study the incidence of the subsidies. The purpose of the housing subsidies is to help low-income households with their housing costs by reducing their effective rents. If the subsidies raise rent level compared to a situation without the subsidies, then government resources are not correctly allocated. Currently there are relatively few studies on the subject. This is due to the complexity of subsidy programs and that they differ greatly between countries. The conclusion presented in this paper is that there is no clear consensus on housing subsidies’ effect on rents and that recent studies have yielded different results. More studies should thus be performed to gain better understanding of the allocation of government resources.Description
Thesis advisor
Mustonen, MikkoMurto, Pauli
Keywords
rental housing, incidence, housing allowance, subsidized housing, Suomi