Several different proposals have been put forward concerning how housing subsidies should
be provided. Discuss the merits of:
a. The government’s paying a given fraction of the family’s housing expenditures, up to some maximum, with the percentage depending on the family’s income.
b. The government’s paying a fixed dollar amount of housing allowance, the amount depending on the family’s income. In both cases, discuss the consequences for the family’s expenditures on medicine; on food.