Did Proposition 13 Affect the Mobility of California Homeowners ?

John Nagy
Additional contact information
John Nagy: Wells Fargo Bank

Public Finance Review, 1997, vol. 25, issue 1, 102-116

Abstract: In 1978, the voters of California cut the property tax paid by home owners whenthey passed Proposition 13. However, home owners lose much of this tax savings if they sell their homes and buy others, because, under Proposition 13, recently purchased property is assessed at a higher rate. This may create a lock-in effect, and as a result home owners may be less likely to move from their present homes. Using the Census Bureau's Annual Housing Surveys (1975, 1978, 1982), I compare home owner mobility rates after Proposition 13 with rates immediately prior to the initiative. I find that mobility did decline in the years immediately after the introduction of Proposition 13. However, the data suggest the decline in mobility in California may be simply a part of a national decline in mobility, because there was a concurrent decline in mobility in the rest of the nation.

Date: 1997
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (10)

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/109114219702500106 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:pubfin:v:25:y:1997:i:1:p:102-116

DOI: 10.1177/109114219702500106

Access Statistics for this article

More articles in Public Finance Review
Bibliographic data for series maintained by SAGE Publications ().