Publication Type
PhD Dissertation
Version
publishedVersion
Publication Date
7-2024
Abstract
This study examines the effect of Special Stamp Duty (SSD) and Buyer's Stamp Duty (BSD) on Hong Kong’s housing prices in the primary market. Using micro transaction data, I show that the Tobin tax policies were not effective in cooling the primary market. The primary market responded differently when facing the two events. Specifically, SSD Phase 1 led to a 9.4% price increase within 6 to 12 months post-implementation, suggesting a lag effect. The introduction of SSD Phase 2 and BSD initially caused a significant 13.1% price surge in the first 6 months, but was followed by a notable 9% decrease in the subsequent 6 to 12 months, indicating a market overreaction. I further show that the effect of the Tobin tax policies varied across different submarkets by size and location. The results are robust with a shorter pre-policy period analysis, the inclusion of an additional control variable, and placebo tests.
Keywords
Special Stamp Duty, Buyer's Stamp Duty, Transaction tax, tobin tax, hong kong, property, SSD, BSD
Degree Awarded
PhD in Business (General Management)
Discipline
Real Estate | Taxation
Supervisor(s)
LIM, Kian Guan
First Page
1
Last Page
80
Publisher
Singapore Management University
City or Country
Singapore
Citation
DANG, Dinh Tuan.
Can a Tobin tax curb speculation in the housing market? A study on the effect in the primary market of Hong Kong tax policy. (2024). 1-80.
Available at: https://ink.library.smu.edu.sg/etd_coll/617
Copyright Owner and License
Author
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.