IDEAS home Printed from https://ideas.repec.org/a/sae/pubfin/v25y1997i1p102-116.html
   My bibliography  Save this article

Did Proposition 13 Affect the Mobility of California Homeowners ?

Author

Listed:
  • John Nagy

    (Wells Fargo Bank)

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.

Suggested Citation

  • John Nagy, 1997. "Did Proposition 13 Affect the Mobility of California Homeowners ?," Public Finance Review, , vol. 25(1), pages 102-116, January.
  • Handle: RePEc:sae:pubfin:v:25:y:1997:i:1:p:102-116
    as

    Download full text from publisher

    File URL: http://pfr.sagepub.com/content/25/1/102.abstract
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ayşe İmrohoroğlu & Kyle Matoba & Şelale Tüzel, 2018. "Proposition 13: An Equilibrium Analysis," American Economic Journal: Macroeconomics, American Economic Association, vol. 10(2), pages 24-51, April.
    2. Ferreira, Fernando, 2010. "You can take it with you: Proposition 13 tax benefits, residential mobility, and willingness to pay for housing amenities," Journal of Public Economics, Elsevier, vol. 94(9-10), pages 661-673, October.
    3. Skidmore, Mark & Ballard, Charles L. & Hodge, Timothy R., 2010. "Property Value Assessment Growth Limits and Redistribution of Property Tax Payments: Evidence From Michigan," National Tax Journal, National Tax Association;National Tax Journal, vol. 63(3), pages 509-537, September.
    4. Chris Cunningham & Robert R. Reed, 2012. "Housing wealth and wage bargaining," FRB Atlanta Working Paper 2012-20, Federal Reserve Bank of Atlanta.
    5. Cheung, Ron & Cunningham, Chris, 2011. "Who supports portable assessment caps: The role of lock-in, mobility and tax share," Regional Science and Urban Economics, Elsevier, vol. 41(3), pages 173-186, May.
    6. Ihlanfeldt, Keith R., 2011. "Do Caps on Increases in Assessed Values Create a Lock-in Effect? Evidence From Florida’s Amendment One," National Tax Journal, National Tax Association;National Tax Journal, vol. 64(1), pages 8-25, March.
    7. Bradley, Sebastien, 2018. "Assessment limits and timing of real estate transactions," Regional Science and Urban Economics, Elsevier, vol. 70(C), pages 360-372.
    8. John Deskins & William Fox, 2008. "Measuring Behavioral Responses to the Property Tax," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0816, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:pubfin:v:25:y:1997:i:1:p:102-116. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.