Capitalism as all about user pays and minimal...

Capitalism as all about user pays and minimal Government
interference in the economy (free market morality)

So, if a Government favours one type of investment
that, IMO, is not capitalist; in fact it could be considered
"socialist" IMO, (anti free market economics)

The Hawke/Keating Government took the first steps
to privatise Social Housing as an internationally agreed
package to float the AUD (before that the AUD was tied to
the USD-something like the Chinese Yuan now)

This was based on US driven Neo-Liberalism which
in theory says that Government should play a minimal
role in the Free Market economy.

At that time , contrary to Free Market Neo-Liberalism,
concessions on CGT & Negative Gearing was introduced
as an incentive to private investors to take over
Social Housing.

Ironically Government's tax interference in the Social
Housing Market can be also considered Socialist
in that this market segment is treated differently to
other forms of private investment.

The ATO does not allow other non-profitable
investments costs to be offset in PAYE tax concessions.
So, in summary, negative gearing is in essence Socialist
in that investment housing by individuals whose principal
source of income is via PAYE tax employment status.

So, IMO, its difficult to argue free market capitalism
while benefitting from the Welfare State