The Real Motive Behind Tusk’s 0 interest Mortgage: Lobbying or Economic Policy

Everyone is wondering why Tusk is pushing forward with this 0 interest Mortgage. There is widespread concern that it could raise prices. Even staunch free-market advocates from the Union of Entrepreneurs and Employers agree. Hołownia's party and the Left are against the 0 interest Mortgage (although the latter are unable to use such a favorable situation to become promoters of this resistance), and KO) politicians, such as MP Sterczewski, are also slowly breaking away. Minister Paszyk from the PSL, who is making exaggerated claims in favor of this policy, is in favor, and Tusk, who calls the rebels to order. Needless to say, the effects of the 0 interest Mortgage will have a very bad effect on the support columns. So… why?

A certain answer is provided by the analysis of the structure of payments to the party's accounts. For example, it turned out that the PSL received about PLN 1 million (1/5 of the total) from companies from the construction and development industry. Of course, not all of them are industry tycoons who build 10 housing estates a year, but it is still quite an unusual coincidence, isn't it? But a moment later, the same analyst looked at the payments to KO and imagine that 5.5 million zlotys were paid by construction and development companies, which is about 30% of all payments. Even if we assume that the method is very rough and that we are dealing with lobbying only in half of the cases, it gives us 10% for PSL and 15% for KO. This is still a significant amount.

Since I can't find any other rational explanation, this is all I have left. No, I don't think Tusk is a hard-line Lib who, contrary to all analyses (including hard-line Libs) and experiences, would believe that such a loan would lower housing prices. In my opinion, Tusk primarily believes in polling. And he is certainly aware of how unpopular this project is. You can like Tusk or not, but he is certainly not an idiot who will kick himself and go to the wall in the name of some vague economic ideals. It seems that lobbying through donations is the main driving force here.

If that is really what it is about, then this is very bad news. Never mind that this 0 interest Mortgage could come in amounts of around PLN 500 million. On the scale of the budget and the size of the industry (and developers will share this transfer with banks), this is pennies. The real problem is that since such pressures exist in such numbers and since they are having an effect (and it seems so), the chance that this government will do something that would have a real impact on housing prices decreases to almost zero – that is, that it will not start building apartments. Seriously, in large numbers, for many years. Just as PiS promised, but failed.

Exactly, because PiS, the social party that cares about the common man, whom the big-city liberal despises, so PiS wouldn't do that, right? According to the same analyst, donations from the construction industry represent a similar percentage for all parties, ranging between 20-30%. This suggests that PiS's failure in its housing program was not just due to incompetence, but also influenced by lobbying, particularly in the case of loan subsidies that primarily benefited developers.

Lobbying is a non-partisan matter Jack.