Countercyclical Stimulus Proposals for Single-Family Housing

CED-82-122A: Published: Nov 1, 1982. Publicly Released: Nov 1, 1982.

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In conjunction with earlier efforts to analyze the current downturn in housing construction, GAO conducted two symposia on countercyclical stimulus for single-family and multifamily housing in which leading experts discussed the key issues and evaluated the most significant options for aiding the homebuilding industry. This report contains a summary and the individual papers presented at the symposium on single-family housing.

The purpose of this symposium was to explore possibilities for providing a short-term countercyclical stimulus for single-family housing. In evaluating the proposals that were considered, the panel stated that the rationale for any countercyclical stimulus program is that the subsidy should: (1) increase housing sales and production and hence employment above near-term levels; and (2) not merely displace production and other investments, but should raise the overall level of activity and jobs in the economy.

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