patrick.net

E-man says

I guess only the uneducated individuals are still living here.

Yes, because that is what the article said...

If they're so smart, how come they're not rich already?

Ceffer says

If they're so smart, how come they're not rich already?

Smart doesn't make rich. Smart just keeps one off the pipe and the bottle.

FortWayne says

Ceffer says

If they're so smart, how come they're not rich already?

Smart doesn't make rich. Smart just keeps one off the pipe and the bottle.

Well, you're no fun. I am going to report you to Big Pharma as a dangerous non-conformist.

hrhjuliet says

It's hard finding educated and qualified people in the Valley. No one can afford to live here unless they are in tech. Soon Silicon Valley will be nothing but tech, restaurant owners, doctors and everyone else living in poverty.

Certianly wasnt the case pre-2000 and pre-housing bubble.... but tech
is on the decline and there are fewer and fewer jobs...

http://www.siliconbeat.com/2010/02/17/vanishing-public-companies-lead-to-the-incredible-shrinking-silicon-valley/

It has long been noted that big cities are corrupt, even before they were concentrated with smoke and inorganics:

http://www.monticello.org/site/research-and-collections/chain-email-10-jefferson-quotations

evilmonkeyboy says

This is a competitive advantage that companies outside the Bay Area are gaining as housing cost become more ridiculous here. Many times I have heard the argument that Bay Area is the best place to do business cause of it's talent. How is Silicon Valley and SF going to keep it's talent pool if refuses to build high density housing and Prop 13 pushes prices up for new talent without increasing value?

So are you arguing we need to elim Prop 13 which would increase property taxes for employees.. while other states are luring jobs away from Santa Clara with NO PROPERTY and INCOME TAX incentives to employeers... like Arizona, New Mexico, Texas and Washington ?

This is a self correcting problem. Bubbles pop. Prices cannot soar indefinitely when people leave cities en masse.

Great idea.
Move to an area with cheaper house prices so they can overpay for overpriced shacks there.

thomaswong.1986 says

So are you arguing we need to elim Prop 13 which would increase property taxes for employees.. while other states are luring jobs away from Santa Clara with NO PROPERTY and INCOME TAX incentives to employeers... like Arizona, New Mexico, Texas and Washington ?

Eliminating prop 13 does not increase taxes on people that rent. Prop 13 is a subsidy that takes from new landowners to give to older landowners. It only distorts the market.

APOCALYPSEFUCKisShostikovitch says

ASSHOLES!

There we go!

Quigley says

How many educated professionals have no student loans? How many doctors? And how many of these have $130,000 in cash to put down? I'd make a fair bet on next to none of them who didn't get money from rich parents.

Even some of these all-cash buyers are basically using parent money to make all-cash offers and then applying for a mortgage after the fact. I know a couple people who didn't qualify for the mortgage afterward, which was not surprising to anyone except for the idiot parents who bought the houses. Gee, shocker, he doesn't make steady income (commission-based job) and has questionable credit.

evilmonkeyboy says

Prop 13 is a subsidy that takes from new landowners to give to older landowners. It only distorts the market.

It also re-distributes the tax base from residential to commercial property, results in state-government control of local matters because local governments don't have enough money, results in higher sales taxes, etc. I've written about this before:

http://patrick.net/?p=1108148&c=772799#comment-772799

That fact that Prop 13 tax bases are inheritable is also ridiculous.

controllio said: That fact that Prop 13 tax bases are inheritable is also ridiculous.
I'm not so much against Prop 13 for primary residences and even the inheritance business. It's Prop 58 where the real craziness kicks in: $1 million limit (taxable value) on transfers of non-principal residence property. We're becoming feudal.

EBGuy says

Prop 13

+

EBGuy says

Prop 58

=

EBGuy says

We're becoming feudal

Btw, is 58 local to SFBA or statewide?

THe Educated people? We're talking about those folks that find fault and social travesties in the way neighbors in other neighborhoods, they've never stepped foot it, act towards each other. Then get all activist to pass laws on how those people carry on discourse with one another.

Yet when the shit hits the fan, if they can't afford to live in the exclusive gated communities with a Moat, they are the first pull up anchor and head off to greener pastures. They wouldn't be caught DEAD living anywhere NEAR the Shit they created.

Educated Americans are ousted by uneducated Chinese.

JH says

This is a self correcting problem. Bubbles pop. Prices cannot soar indefinitely when people leave cities en masse.

True.

EBGuy says

controllio said: That fact that Prop 13 tax bases are inheritable is also ridiculous.

I'm not so much against Prop 13 for primary residences and even the inheritance business. It's Prop 58 where the real craziness kicks in: $1 million limit (taxable value) on transfers of non-principal residence property. We're becoming feudal.

Both should be on the ballot this year. They need to be abolished, or like you said, at the very least, prop 13 needs restrictions.

Can we throw out NAFTA while we are at it?

Call it Crazy says

....with LOTS of family money...

Well, that's our money anyways.

EBGuy says

It's Prop 58 where the real craziness kicks in: $1 million limit (taxable value) on transfers of non-principal residence property. We're becoming feudal.

Agree, and don't forget Prop 193 regarding grandparents/grandchildren. The whole scheme has a lot of structural problems.

corntrollio says

EBGuy says

It's Prop 58 where the real craziness kicks in: $1 million limit (taxable value) on transfers of non-principal residence property. We're becoming feudal.

Agree, and don't forget Prop 193 regarding grandparents/grandchildren. The whole scheme has a lot of structural problems.

Prop 193 is only applicable when the parents have died. A property van be passed down ad infinitum using a combination of prop 58/193.

http://www.boe.ca.gov/proptaxes/faqs/propositions58.htm

I verified this personally with a call to the CA board of equalization

Call it Crazy says

Well, then it's nice that they are recycling it back into our country, right??

Well, yes, it comes around. First we were enjoying the fruits of their cheap labor. Now that money is going to screw our next generation for sure.

Call it Crazy says

bubblesitter says

Call it Crazy says

....with LOTS of family money...

Well, that's our money anyways.

Well, then it's nice that they are recycling it back into our country, right??

Since we got the land cheap with guns and biological warfare, we are making tons of profits selling them for real hard cash.

Young educated people with student loan debt cannot buy a house anyway. They are moving into the cities where the jobs are as renters.

Silicon Valley will always be a magnet as start-ups require a mix of skills that can be found in Silicon Valley quickly. Once a company is mature, it can consider moving. It often moves operations that are not as dependent on the skills available in the valley to a lower cost location keeping certain operations in Silicon Valley.