Not only could the government and I mean FF have prevented the property bubble (or at least severely limited it) but they actually did exactly the opposite. Section 23 combined with planning corruption and a complete absence of proper regulation of the banks was like heaping tyres and petrol on a bonfire.
FF threw petrol on an already burning fire (and they deserve a good drubbing in the polls for that), their and other political parties abdication of fiscal responsibility during the boom is partly what got us here. But remember this is republic running a democratic voting system, in such a system we vote for the gombeen in a Santa Claus suit. Try telling Joe Public that you are deliberately going to stop him speculating on property and see if you get re-elected.
The measures introduced by the government after the last Bacon Report must be abolished in the forthcoming budget, according to a number of property bodies. The consensus is that the measures have not worked and must be re-evaluated.
In its pre-budget submission the Irish Auctioneers and Valuers Institute (IAVI) argues that the measures have tilted the supply balance away from the private rented sector. It also says that any disincentive to investment does not affect the investor, whose capital is mobile, but tenants.
The tax has resulted in a dramatic increase in rents, a complete collapse of the holiday homes market around the seaboard, a serious threat to purpose-built student accommodation and a devastating effect on the property industry in rural areas, according to the IAVI.
>>>>Calls for budget U-turn to redress Bacon effect
Sunday, November 19, 2000http://archives.tcm.ie/businesspost/200 ... 270138.asp
Anyone on here who doesn't start to cop that FF over the last 8 years have in effect undid all the growth of the previous 20 and are likely to have set us back to the eighties if we're lucky and the fifties if we're not.
Agreed, but the problem is not just FF (FG seem to have had a recent Pauline conversion, now that it suits them).
It is the bankruptcy of ideas and leadership within the Irish political system and western 'democracies' that fuels this, a politician with true courage and integrity, leadership and vision would have been able to persuade people that following the Bacon report was the best course of action.
Sadly we only get genuine leadership when our backs are against the wall and we've tried every other foolish solution beforehand.