Labor's two-pronged housing affordability package has them rowing the same boat in both directions, expending a lot of taxpayer dollars and going nowhere.
Labor's problem is this. If abolishing negative gearing is to improve housing affordability it has to decrease prices. But if it decreases prices it decreases the savings of all home owners.
The Labor Party’s negative gearing policy has the potential to become a rerun of its mining tax – creating major upheaval and uncertainty but raising very little additional revenue.
Queensland-based policy think tank the Australian Institute of Progress, has called for a truthful election campaign, saying the choices facing Queenslanders were too important to permit political fictions and misinformation.