Matthew Desmond has a piece at the New York Times about homeownership and inequality. In it, he rightfully takes on the Mortgage Interest Deduction, a tax expenditure that unfairly benefits those who own homes and the rich especially. Desmond ties the Mortgage Interest Deduction, and homeownership policy more generally, into the racial wealth gap. This… Continue reading Would Ending the Mortgage Interest Deduction Reduce the Racial Wealth Gap?
The Racial Wealth Gap and Homeownership Nonsense
Matthew Desmond has a piece in the New York Times about homeownership and racial inequality. The piece is mostly good, but one part of it irked me: While most white families own a home, a majority of black and Latino families do not. Differences in homeownership rates remain the prime driver of the nation’s racial… Continue reading The Racial Wealth Gap and Homeownership Nonsense
The US Should Spend at Least $15 Trillion More on Welfare
The way journalists report on the fiscal costs of spending programs is extremely unhelpful. The norm is to give some dollar amount projected over a decade. The problem with this norm is that a raw dollar figure does not tell the audience a whole lot. Is $100 million a lot? Is $100 billion a lot?… Continue reading The US Should Spend at Least $15 Trillion More on Welfare
Education Is Just Another Issue
In his piece about DC’s failed school voucher program, David Leonhardt had this to say: [E]ducation isn’t just another issue. It is the most powerful force for accelerating economic growth, reducing poverty and lifting middle-class living standards. Well-educated adults earn much more, live longer and are happier than poorly educated adults. When researchers try to… Continue reading Education Is Just Another Issue
Where Deep Child Poverty Comes From
As a follow up to my EITC post yesterday, I want to emphasize that one problem with the EITC is actually present in every single child tax benefit we have. In one form or another, all child tax benefits we have are earnings-related, meaning the lower your earnings, the less you get. This design, which… Continue reading Where Deep Child Poverty Comes From