Again, the AEA promotes junk science and demagoguery!
These very clever authors of this research even capitalized White like in White homeowners!
This is not an apple to apples comparison, but skin color ideology bias! This is disgusting racist research!
What about white compared to brown or black Hispanic homeowners?
If economic circumstances and location of residence of these homeowners irrespective of skin color had been the same or very similar in this study, then probably no significant "racial differences" nor "racial gap" were found.
From the abstract:
"We show that higher rates of distressed home sales (i.e., foreclosures and short sales) among Black and Hispanic homeowners severely reduce realized housing returns for these groups—in particular, to a level below that realized by White homeowners. Yet absent financial distress, houses owned by minorities do not appreciate at substantially slower rates than houses owned by non minorities. Racial differences [???] in liquidity and income stability, which are imperfectly observed by lenders, are important determinants of differences in distress. Policies that prevent foreclosure among distressed minorities can mitigate the racial gap [???] in returns."
No comments:
Post a Comment