Levelling the Playing Field

The Economic Case for Reforming Negative Gearing

In June 2015, The McKell Institute’s Switching Gears report made the case for restricting negative gearing to new properties only. The merits of the proposed reform have since been debated at length. Opponents of the proposed reforms have cited changing dynamics in Australia’s housing market over 2017/18 as a reason for abandoning the proposal. However, as Professor Richard Holden outlines in this follow up to Switching Gears, the case for pursuing sensible reforms to negative gearing has never been stronger.

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