Michael Reddell: Former Reserve Bank economist scrutinises aspects of National's proposed tax plan

Three economists have teamed up to scrutinise part of National's tax plan. The party's proposed ending the ban on foreign buyers - for homes worth more than $2 million- and taxing them 15 percent. It expects foreigners will buy 1700 houses valued on average at around $2.9 million. But economist Michael Reddell says it'll be more like 700 in that price range. "That $2 million threshold really does matter, because average house prices - even in Auckland - are well below $2 million. And there just aren't that many really expensive houses in New Zealand." LISTEN ABOVE  See omnystudio.com/listener for privacy information.