Stephen Knight

Now, I think we've already got this issue in New Zealand where our productivity is relatively low.

It's been falling for the last four years.

And now we want to take away some of the gains from investment.

And again, here we're talking about a broad-based capital gains tax.

So this would disincentivize a business owner to buy a new piece of equipment or spend money on a new piece of technology that's going to make

their employees more efficient because, okay, that increase in value of the business, some of that gets taxed away.

So it's another disincentive to investing in that technology.

And I suppose my main point here really around capital gains taxes is somewhat similar to what you were saying around income, is that it changes behavior.

So people will hold on to some of their assets longer than they otherwise would because they don't want to sell it.

They'll take fewer risks.

They'll start fewer business.

And I think that leads to a worse outcome for New Zealand.

What have you got to say to that?

Okay, let's hear your second argument.

You love saying rort the system, don't you?

I wasn't saying that the economy was going to collapse, Andrew.

You're misconstruing what I was saying.

But what have we got here?

What are some of the other countries you're talking about?

Now, I want to be really clear.