7. U.S. tax laws encourage investment in housing (such as through the deductibility of mortgage interest for

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7. U.S. tax laws encourage investment in housing

(such as through the deductibility of mortgage interest for purposes of computing income) and discourage investment in business capital (such as through the corporate income tax). What are the long-run effects of this policy? (Hint: Think about the labor market.)

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Macroeconomics

ISBN: 9781429218870

7th Edition

Authors: N. Gregory Mankiw

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