Egalitarian Politics in Property Booms and Busts: Housing as Social Right or Means to Wealth in Australia and Denmark
Do property booms and busts change a population’s views about whether housing should be considered as a social right or a means to wealth? This chapter investigates this question by comparing changes to taxation and housing finance regimes in what is defined in the editors’ introductory chapter to this volume as corporatist and liberal residential property market types. While the types of residential capitalism differ in Australia and Denmark, the cases discussed here share some important similarities. The first is that political discourse is saturated with egalitarian ideals in both societies, be it the “fair go” of Australian society or “equal opportunities” (“lige muligheder”) in Danish society.1 How egalitarianism is constructed through political framing, and how it is expressed as a broadly shared normative goal in society, informs attitudes and behavior toward housing markets. The second similarity is that both states have liberal mortgage finance (LMF) systems that provide securitization or covered bond options, and within both states changes to taxation and housing finance systems facilitated residential property booms. These reforms, particularly those following financial deregulation, introduced new mortgage instruments and changed economic incentives for selecting residential property as an investment vehicle.
KeywordsHousing Price Housing Market Housing Finance Mortgage Debt Home Loan
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