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Friday November 27, 2009

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RESEARCH AND COMMENTARY

Save to My PortfolioPolicies for Tackling the Mortgage Mess

Douglas W. Elmendorf, April 10, 2008, Senate Committee on Banking, Housing, and Urban Affairs

Policies for Tackling the Mortgage MessCongress and the administration are moving forward in myriad ways to boost beleaguered homeowners and put the economy back on track. Doug Elmendorf, testifying before the Senate, urged policy-makers to expand the role of the Federal Housing Administration to help families in trouble refinance their mortgages, and offered comments on the compromise Senate housing bill. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioState and Federal Policy in the Foreclosure Crisis

Alice M. Rivlin, May 28, 2008, National Governors Association

The following remarks were delivered by Alice Rivlin during a luncheon speech at the State on Foreclosures and Housing Solutions hosted by the National Governors Association. Illustrating the effects of both the credit and foreclosure crisis providing reasons for optimis in the current state of the economy. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioThe Great Credit Squeeze: How It Happened, How to Prevent Another

Martin Neil Baily, Douglas W. Elmendorf and Robert E. Litan, May 16, 2008, The Brookings Institution

With the U.S. financial system still in a perilous state, Martin Baily, Doug Elmendorf and Bob Litan diagnose what caused the crisis and offer prescriptions for policy change. The authors of this new Brookings paper address two challenges: to resolve the immediate problems and to reduce the likelihood that these problems recur. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioTelling the Narrative of the Financial Crisis: Not Just a Housing Bubble

Douglas J. Elliott and Martin Neil Baily, November 23, 2009, The Brookings Institution

What really caused the great economic crisis of the past year? Should the Fed’s powers be stripped away, per legislation sponsored by Rep. Ron Paul that recently passed the House Financial Services Committee? In an effort to help inform the debate, Brookings Fellow Douglas Elliott and Senior Fellow Martin Baily ponder the importance of public perceptions of the causes of the crisis - and how they will affect chances of financial regulatory reform. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioShould Government Policies Favor Owners Over Renters?

Ted Gayer, November 19, 2009, The Brookings Institution

Should Government Policies Favor Owners Over Renters?The housing market, thought to finally be stabilizing, took a surprising tumble with new-home starts dropping 10.6% in October from the previous month. Ted Gayer writes that those expecting the recently extended and expanded homebuyer tax credit to improve this situation are likely to be disappointed, and that the credit may be unintentionally weakening the rental market. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioThe Wealth of Older Americans and the Subprime Debacle

Barry P. Bosworth and Rosanna Smart, November 18, 2009, Center for Retirement Research at Boston College

Barry Bosworth and Rosanna Smart explore the consequences of the housing price bubble and its collapse for the wealth of older households, utilizing micro survey data to follow the rise in home values to 2007 and observing which households enjoyed home price appreciation and how they responded in terms of equity withdrawal. The authors conclude that while older households mitigated their real estate and equity losses with relatively stable fixed-value assets and pension programs, they also lost much of their presumed gains relative to earlier cohorts, and they will have less time to recover. Read More

PAST EVENT

Save to My PortfolioMeasuring Innovation and Change During Turbulent Economic Times

Tuesday, November 17, 2009
9:30 AM to 4:00 PM
Washington, DC

Measuring Innovation and Change During Turbulent Economic TimesOn November 17, a day-long conference co-sponsored by Brookings and the Heritage Foundation will explore the measurement challenges associated with the recession, particularly in the financial and housing sectors; how innovation can become a standard component of our national accounting system, and how incorporating innovation metrics will aid the development of a unified picture of the sources of growth and economic disruption. Read More

PAST EVENT

Save to My PortfolioThe Scouting Report: Extending the Homebuyer Tax Credit

Wednesday, November 11, 2009
12:30 PM to 1:30 PM
Washington, DC

President Obama approved the expansion and extension of the homebuyer tax credit initially approved as part of the economic stimulus package. While this move is intended to spur home sales, many experts argue that extending the tax credit is bad policy. On Wednesday, November 11, Ted Gayer and Politico Senior Editor Fred Barbash will be online to answer your questions about the homebuyer tax credit in a live web chat. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioThe Scouting Report Web Chat: Extending the Homebuyer Tax Credit

Ted Gayer, November 11, 2009, The Brookings Institution

The Scouting Report Web Chat: Extending the Homebuyer Tax CreditOn Wednesday, November 11, Ted Gayer and Fred Barbash participated in a live web chat on the extended homebuyer tax credit, debating whether or not President Obama should have let it expire. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioDesigning Loan Modifications to Address the Mortgage Crisis and the Making Home Affordable Program

Larry Cordell, Karen Dynan, Andreas Lehnert, Nellie Liang and Eileen Mauskopf, October 30, 2009, Federal Reserve Board: Finance and Economics Discussion Series

In order to shore up the housing market and prevent foreclsoures, the government has instituted the Home Affordable Modification Program (HAMP). Larry Cordell, Karen Dynan, Andreas Lehnert, Nellie Liang and Eileen Mauskopf find that HAMP's key features should alleviate some of the previous obstacles to successful loan modifications. But, they say, the program is not well-suited to address payment problems associated with job loss, and they believe focusing on reducing payments rather than principal is ineffective when the homeowner has negative equity, with short sales being a better option. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioMore on the Homebuyer Tax Credit

Ted Gayer, October 14, 2009, The Brookings Institution

More on the Homebuyer Tax CreditTed Gayer addresses the potential cost of a home buyer tax credit in light of the Congressional Joint Committee on Taxation’s cost estimate and still concludes that the credit would be a poorly targeted subsidy, even if the program is smaller and shorter in duration. Read More

PAST EVENT

Save to My PortfolioMetropolitan Planning for Sustainable Growth

Tuesday, October 13, 2009
9:00 AM to 11:00 AM
Washington, DC

On October 13, the Brookings Institution’s Metropolitan Policy Program hosted a panel discussion around how to best prepare and support metropolitan regions in the development of integrated blueprint plans for sustainable growth. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioSmarter Dumb Tax Policy

Alan Berube, October 09, 2009, The Brookings Institution

Smarter Dumb Tax PolicyAs the $8,000 federal tax credit for first-time home buyers nears expiration, congressional leaders are considering an extension and an expansion of the program. However, Alan Berube argues that this is not only poor tax policy but also, because of regional variations in housing prices, potentially inflationary. Read More

RESEARCH AND COMMENTARY

Save to My PortfolioExtending and Expanding the Homebuyer Tax Credit Is a Bad Idea

Ted Gayer, October 09, 2009, The Brookings Institution

Extending and Expanding the Homebuyer Tax Credit Is a Bad IdeaThe housing market, while showing some signs of recovery, is still weak, which is why policymakers are considering more ways to support it. One idea is to extend and expand the homebuyers tax credit. Ted Gayer says the proposal is misguided, poorly targeted and very expensive. Read More

VIDEO

Save to My PortfolioHousing Sales Flat, Risk Remains

Ted Gayer, September 25, 2009

New U.S. home sales were flat in August and existing home sales fell, showing that the housing sector still remains weak. Ted Gayer, co-director of Economic Studies, says there has been some housing stabilization thanks to the Federal Reserve, but that there is still downside risk in the market. Costly tax incentives to encourage homeownership have long-term budget consequences.

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