I don’t watch much free-to-air TV these days but yesterday I flicked onto the news on the ABC just in time to watch the finance section be delivered by Alan Kohler. In it he dedicated a lot of time to yesterday’s Moody’s release about the relative prices of Australian houses, including the discussion about the declining effects of negative gearing and the various assessments of city house price value of otherwise. In his conclusion, Kohler editorialises that NG is adding $300 billion+ to house prices while only costing the government $4 billion in tax. A “good investment” he reckons.
Quite apart from the fact that this is opinion presented as fact in the nightly news, what was missing from Kohler’s presentation was any reference to the context of the price estimates. There was no mention of the phrase “worrying trends” used by Moody’s in its report if interest rates were to rise. There was no reference either to any other view at all that sees house prices as a problem for the the RBA or economy. Just Mr Kohler’s affable demeanor and a string of dubious opinions telling everyone that it’s all good.
While Blind Freddy knows that this is not the case – the press if full of concern about it today – the main issue is that this is, at best, poor journalism offering a one-sided take of the report. Perhaps Mr Kohler offers a more balanced take on housing over consecutive programs (I don’t know, I don’t watch) but that’s not really an excuse anyway.
Given Mr Kohler has an investment product to maintain outside of his national broadcasting commitments – that also covers housing investment but there was no disclosure of such – it’s not a good look for ABC “news”.
