Prior to the Great War Los Angeles had the reputation of being a place where one could live well at very moderate cost and hotels and restaurants gave the very best for little money. This was all sadly changed in the wave of profiteering during and following the war. The city acquired a rather unenviable reputation for charging the tourist all the traffic would bear—and sometimes a little more—until finally Government statistics ranked Los Angeles number one in the cost of living among cities of its class. The city council undertook to combat the tendency to "grab" by passing an ordinance limiting the percentage of rental an owner might charge on his property—a move naturally contested in the courts. At this writing, however, (1921), the tendency of prices is distinctly downward and this may reasonably be expected to continue until a fair basis is reached. It is not likely, however, that pre-war prices will ever return on many items, but it is certain that Los Angeles will again take rank as a city where one may live permanently or for a time at comparatively moderate cost.
Public utilities of the city never advanced their prices to compare with private interests. You can still ride miles on a street car for a nickel and telephone, gas and electric concerns get only slightly higher rates than before the war. Taxes have advanced by leaps and bounds, but are frequently excused by pointing out that nowhere do you get so much for your tax money as in California.
Naturally, the automobile and allied industries loom large in Los Angeles. Garages from the most palatial and perfectly equipped to the veriest hole-in-the-wall abound in all parts of the town. Prices for service and repairs vary greatly but the level is high—probably one hundred per cent above pre-war figures. Competition, however, is strong and the tendency is downward; but only a general wage lowering can bring back the old-time prices. Gasoline is generally cheaper than in the East, while other supplies cost about the same. The second-hand car business has reached vast proportions, many dealers occupying vacant lots where old cars of all models and degrees brave the sun—and sometimes the rain—while waiting for a purchaser. Cars are sold with agreement to buy back at the end of a tour and are rented without driver to responsible parties. You do not have to bring your own car to enjoy a motor tour in California; in fact this practice is not so common as it used to be except in case of the highest-grade cars.