May Revise Proposes to Weaken California’s Nation-Leading R&D Industry
The US Bureau of Economic Analysis recent release of a new series tracking the economic contributions of R&D activities in each of the states provides a timely data base to evaluate proposals in the May Revise related to business tax credits.
Full April 2024 Jobs Report
Most responses to the May Revise have appropriately focused on the revenue effects coming from the state’s extreme reliance on the tax returns of a relatively small number of high-income taxpayers.
Quick Facts: California Employment Report for April 2024
Both the nonfarm job and employment numbers showed positive gains in April, but at relatively modest levels. Nonfarm jobs rose by 5,200, and were not strong enough to even offset the 10,100 downward adjustment to the March gains.
Special Report: Economic Importance of Trade & the Ports to Southern California: Phase I Report: Baseline Economic & Fiscal Impacts
The Ports of Long Beach (POLB) and Los Angeles (POLA) are the core of the largest trade complex in North America. More than 3 million jobs nationwide are supported by the two ports and nearly 230,000 jobs in the region.
California Energy Price Data for April 2024
Last month, the governor announced that the state’s energy policies had set new records whereby clean energy had exceeded grid demand at some point during 40 of the last 48 days. Left unsaid, however, is that clean energy is not always produced when it is needed.
California Trade Report for March 2024
Total trade through the state’s ports was up $2.2 billion (3.3%) in March compared to the same period a year ago, generating yet another rise (on a 12-month moving basis) in the state’s overall share of US trade to 15.75% compared to the low of 15.32% last August.
Full March 2024 Jobs Report
As discussed in our preliminary report last week, the March data again showed California with the highest unemployment rate among the states and DC and, at 5.3%, the highest in California since December 2021. In contrast, the current Department of Finance forecasts underlying the budget revenue and spending projections expected unemployment to be only 4.9% in the first quarter of 2024.
Quick Facts: California Employment Report for March 2024
The March data returned to reporting mixed results for the state’s economy. Nonfarm jobs rose 28,000 in the preliminary results for March, while the loss in February was revised 3,300 lower to 6,600. The preliminary average monthly gain for the first quarter of 2024 was 15,800, down sharply from the previous quarter’s average of 38,800 but better than the 5,200 average loss in the first quarter of 2023.
California Energy Price Data for March 2024
The state’s energy policies continued to push prices ever higher. In January on a 12-month moving average basis, residential electricity rates rose to the second highest among the contiguous states, while industrial rates rose to the highest.
California Trade Report for February 2024
The Baltimore bridge collapse is the latest event adding to global trade disruptions, coming on the heels of continued challenges to shipping through the Panama and Suez Canals, uncertainty in the global economic outlook, and the shift of extended contract negotiations to the Eastern ports.