Wednesday, August 4, 2010

More Signs of Fraying

Among the ways in which Nicolas Sarkozy proposed to transform France at the beginning of his quinquennat was an income tax deduction on mortgage loans, which was supposed to encourage home ownership. French home ownership rates are low compared with other European countries, so this was an idea with some promise. But it hasn't had the desired effect, though it has proved costly, and the measure is now being rescinded. Ideology meets reality.

1 comment:

Kirk said...

In the 25 years I've been in France, this has been an on-again off-again deduction. I'm pretty sure it's been killed and replaced several times, according to the economic winds...