When regulation serves to limit via licensing and multi-year apprenticeships is where you get into market distortions that sometimes serve consumers and sometimes harm them. This happens to some degree in licensed trades (price out a drywall crew, painting or carpet [not licensed or at least licensed without apprenticeship in most places] vs a plumber, electrician, or HVAC).
Home construction work is really interesting, because the transaction costs are so high around locating and comparing the service providers.
It is easy to say there isnt enough competition, but im not sure that is actually true. I think more likely is that most consumers dont collect 10+ quotes and compare, so the price signal is weak.
First biggest is high rents drives up the cost of labor.
Tell me about it. I just got quoted 80k to landscape my residential backyard.
For 1 year of my take home salary.. I'll do it myself.
Also in Seattle, only an HVAC company can pull a permit for refrigeration, even though plenty of heat pumps/mini splits are pre-charged and you'll never need to touch refrigerant.
I’ve bought refrigerants online several times over the years without showing any license (even though I hold an EPA 608 and 609). It’s legal to buy for resale, which is probably how suppliers get around checking.