It's the reason I left New Zealand. It has become a very low trust society with a lot of competing political groups aligned on the basis of race, religion, economics, ethnicity, and political beliefs. With so many competing interests, there is very little appetite to propose and enforce broad national policies which benefit everyone. Instead, generations of Kiwis have come to believe (and rightly so) that owning a home is the only way to survive and thrive. They can't rely on the assistance of the government. Given this, home owners (which comprise the majority of Kiwis), consistently vote for policies to keep their house prices high. This means onerous planning regulations, tax exemptions, and high immigration. Any party which deigns to upset the property speculation ponzi scheme is summarily ousted.

IMHO, the country is now in managed decline. Any serious investment goes straight into property. Entrepreneurial Kiwis leave. I was involved in several startups which had to seek funding from overseas. So they just leave. Usually to the U.S., where their investment culture and infrastructure encourages new ventures and R&D. Home owners have decided that they would rather have their children leave and watch the country burn than allow their house prices to decline. Message received. Something like a million Kiwis live in Australia now. That's 18% of the entire country.