Latest / Best of Business / Perspective with Heather du Plessis-Allan: Does Chris Bishop have a point about house prices?

Transcript

Perspective with Heather du Plessis-Allan: Does Chris Bishop have a point about house prices? · Best of Business

• 0:09
  Speaker 1: You're listening to a podcast from News Talk sed Be
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• 0:16
  Speaker 2: Tell you what I found interesting in the last few
• 0:18
  Speaker 2: days is the enormous surprise at the start now the
• 0:20
  Speaker 2: debate about Chris Bishop saying it's a good thing that
• 0:23
  Speaker 2: house prices are falling. He was asked about this on
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  Speaker 2: Friday and he said, yes, it's a good thing. We
• 0:28
  Speaker 2: have got to decouple the idea that the New Zealand
• 0:31
  Speaker 2: economy is driven by house prices its artificial wealth. The
• 0:35
  Speaker 2: immediate response to that was shocked that anyone could say it,
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  Speaker 2: but especially a National Party minister. And now three days
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  Speaker 2: later there are still newspaper pieces expressing surprise that he's
• 0:46
  Speaker 2: got away with it. And in contrast, for example Mattelia
• 0:50
  Speaker 2: Tude who didn't got smacked down for it, and just
• 0:52
  Speaker 2: and Ardo and who wouldn't go there, And what's more,
• 0:55
  Speaker 2: the surprises that the Prime Minister has now apparently contradicted
• 0:58
  Speaker 2: him and said no, he does want some modest and
• 1:00
  Speaker 2: consistent house price rises. Look, Chris Bisship has got away
• 1:03
  Speaker 2: with it because he's right. It is actually a good
• 1:06
  Speaker 2: thing that house prices have come back. It sucks. It
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  Speaker 2: sucks right now, quite badly, doesn't it, because none of
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  Speaker 2: us feel wealthy as our house prices drop away, And
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  Speaker 2: it is definitely prolonging the recession because we're not spending
• 1:16
  Speaker 2: like we normally would when our house price values increase,
• 1:19
  Speaker 2: which make us feel wealthy. But it is the short
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  Speaker 2: term medicine that this economy needs for improvement, because we
• 1:24
  Speaker 2: cannot keep plowing our money into property. We should be
• 1:27
  Speaker 2: putting it into productive investments, like, for example, buying shares
• 1:30
  Speaker 2: and picks or whatever. Now I know people who are
• 1:33
  Speaker 2: actually changing their behavior because of what is going on
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  Speaker 2: with house prices. I know a woman early forties thought
• 1:38
  Speaker 2: about buying an investment properly, but didn't. We'll put her
• 1:41
  Speaker 2: money into shares instead, because it's much of a muchness.
• 1:44
  Speaker 1: Now.
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  Speaker 2: To answer the question of why Chris Bishop can get
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  Speaker 2: away with it when Matzedia two day got punished for it,
• 1:49
  Speaker 2: and when jasinta Ardurn wouldn't even go there for fear
• 1:51
  Speaker 2: of public backlash, is because it is already happening. He's
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  Speaker 2: not threatening to do it to us like those two
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  Speaker 2: birds might have. It is already happening to us. He's
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  Speaker 2: actually said it before by the way, so he is consistent,
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  Speaker 2: and maybe, just maybe enough of us have already realized
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  Speaker 2: that this is the pain we have to go through,
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  Speaker 2: as much as we hate it right now, for the
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  Speaker 2: sake of future generations. And also, by the way, I
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  Speaker 2: like the fact that he said something that he truly
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  Speaker 2: believes in, rather than saying something that he might have thought.
• 2:18
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