Python objects are passed by value, where the value is a reference. The line b = a(3) creates a new object and puts the label b on it. b is not the object, it's just a label which happens to be on the object. When you call test(b), you copy the label b and pass it into the function, making the function's local b (which shadows the global b) also a label on the same object. The two b labels are not tied to each other in any way - they simply happen to both be currently on the same object. So the line b = a(10) inside the function simply creates a new object and places the local b label onto it, leaving the global b exactly as it was.