Tax Revolts and Political Change

Abstract

The adoption of Proposition 13 in 1978 sent shock waves throughout the American polity. California's attack on property taxes was not the first fiscal limitation adopted in the 1970s, but it carried clear national implications that the earlier measures lacked. By successfully challenging the political establishment, the initiative drive in the Golden State energized campaigns elsewhere to restrict taxes. The echo of Proposition 13 reverberated in Massachusetts, whose voters approved a cap on property taxes (Proposition 2 ½) in 1980. Citizens on the nation's two coasts had signaled thumbs down on fiscal affairs in their states.