Australian Prime Minister Malcolm Turnbull has responded to Labor’s negative gearing policy by declaring that house prices will fall dramatically under the plan; not that negative gearing puts upward pressure on house prices though.
The comments come after Labor outlined a plan to limit the negative gearing tax concession to investors purchasing a new property.
In response, Treasurer Scott Morrison said: “Everything is on the table with tax reform, except this idea by the opposition about negative gearing, so then I guess some things are on the table and some things aren’t. But we can still look at it, but it’s not on the table, it might be hanging over the back of one of the dining chairs of the table. We aren’t closed off to the idea, although we’ll never consider it.”
Morrison then picked a napkin off the table to wipe the sweat off his upper lip, noting: “Oh look it is on the table, it was under my napkin.”
Following the Treasurer’s response, Prime Minister Turnbull went on the attack, saying: “Labor’s plan is reckless, it will lower the value of houses for foreign investors at auctions, I mean working families. The removal of negative gearing in any way will put downward pressure on house prices.”
The (un)Australian asked the Prime Minister if that means negative gearing puts upward pressure on house prices, making them unaffordable for first home buyers.
“No, that doesn’t follow,” said the Prime Minister. “Look over there.”
Labor leader Bill Shorten said something about a scare campaign or something, The (un)Australian isn’t sure because nobody was at his press conference.
Turnbull responded to the scare campaign accusation, saying: “I don’t accept that . oooooooooo, housing slump, ooooooooooo.”
Turnbull continued: “Labor will wreck the economy, like they did with the carbon tax, remember the Whyalla wipeout, I really think Whyalla could go this time if Labor get their way, won’t somebody think of the poor people of Whyalla, they’ve been through enough.”
Political analysts said that this signifies Turnbull’s intention to fight the next election on the economy. Economists Australia wide have responded by buying protective headgear in preparation for the coming months of banging their heads against the wall.
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