A perverse incentive is an inventive that has an unintended and undesirable result that is contrary to the intentions of its designers. The cobra effect is the most direct kind of perverse incentive, typically because the incentive unintentionally rewards people for making the issue worse.
https://en.m.wikipedia.org/wiki/Perverse_incentive
The problem being addressed is a lack of access to housing for Canadian families. Recently, the average asking price for a house in Canada broke $800,000, with around 25 bidders for each house. Of those bidders, about 18 are families looking for a home, and the other 7 are investors looking for an asset that will generate revenue while appreciating indefinitely.
Continue reading “Dear Liberal government, your housing plan is bad”