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California's Proposition 13: Early Reports

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Published on Sep 3, 2007

California's Proposition 13 of 1978 cut property taxes and required a two-thirds vote for raising state taxes, among other features. The first clip shows the situation just before the June 1978 election. The second shows the legislative bailout of local governments shortly before Prop 13 was to take effect. Later, when the state's economy turned down in the early 1980s, the ability of the state to continue the bailouts was undermined by a squeeze on tax revenue.

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