Home Tax Credit: All Smoke and Mirrors?

Updated

The conventional wisdom has it that the soon-to-expire government tax credit for home purchases was a success. After all, it drove people back into the real estate market and helped to ignite a fire under a still-nascent recovery.

But suppose the conventional wisdom is wrong? Suppose it was all really smoke and mirrors? Suppose most of the recent home buyers were going to buy a house anyway, with or without the credit; while many others weren't even old enough to buy a house, which didn't stop them (or their parents?) from claiming the government credit.

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