The state rate of GDP growth over the past decade has been strong, ranking fourth in the nation, but California has been losing ground in the new millennium. In 2004-05, it fell to 17th, behind not only fast-growing Arizona and Nevada but also Oregon, Washington and rival "nation-state" Texas.How ironic,the Blue state of California is a miserable place for the poor and the middle class.
Job creation has been even less impressive. In the Bay Area and Los Angeles, it can only be considered mediocre or worse. If not for the strong performance of the interior counties of the state — what Bill Frey and I call the "Third California" — the state already would be rightly considered a laggard when it comes to creating employment.
More disturbing, as California's population has grown — largely from immigration — per-capita income growth has weakened. From the 1930s to as late as the 1980s, Californians generally got richer faster than other Americans. In 1946, Gunther reported, Californians enjoyed the highest living standards and the third-highest per-capita income in the country.
Today, California ranks 12th in per-capita income. And it's losing ground: Between 1999 and 2004, California's per-capita income growth ranked a miserable 40th among the states.
Sunday, February 25, 2007
California slipping in rate of growth and in job creation
Joel Kotkin reports:
