Question

The u.s. federal government offers homeowners a tax deduction for their home loan interest payments. this reduction in taxes serves as a(n) ________ incentive to buy a house.

Answer 1

This reduction in taxes serves as a "direct"  incentive to buy a house.


There are direct incentives and indirect incentives, the difference between them are;Direct incentives are generally simple to perceive/aftereffect of an activity – Firm brings down the gas cost to pull in more clients and Indirect incentives are the hidden outcome of the move made – Pollution is a result of the expanded amount requested.