Prop 13 drives real estate prices up and rents while they lag also follow. And that drives the price of labor up as well. Even more malign it discourages muni's from approving housing because the property taxes don't cover the services that muni's have to pay for.

> And that drives the price of labor up as well.

This is the real reason manufacturing is leaving the West, not regulation and not evil plan by China. This is also the real reason for culture of thowing away things and not repairing -> a new dishwasher costs £300, but a mechanic needs to charge £100 an hour to pay rent.

If you rent is 50% of your income, the rent is actuslly 75% of your income -> because when you pay for anything, say get a plumber, 50% of your money goes to pay the plumber's rent. If, hypothetically, rents were zero, the plumber would cost twice less. You would have 4 times more money.

But not 100% of your income goes to paying for labour in your local economy. You buy goods and services that are from elsewhere (food from France, entertainment from America) etc.

Prop 13s original beneficiaries were pre-boomer. It was sold as a means to allow grandma to stay in her home as property values skyrocketed around her and rising property taxes were actually pushing (pre-boomer) people out of their longtime homes.