California is in the midst of a particularly volatile economic time, with a great deal of uncertainty about the future. Of course, the pandemic continues to reverberate in striking and unexpected ways. At the same time, severe international conflict is affecting energy prices and creating other urgent challenges. Amid these shifts and risks, predicting even the near term direction of the economy is a challenge. Historical patterns that typically help us understand economic trends are not a clear guide today. So what can we know now about where California’s economy is headed?
California’s recovery was swift and has even showed signs of creating equitable growth across regions and racial/ethnic groups. The unemployment rate in July (3.9%) was lower than at any point in at least the last 40 years. Key challenges today include meeting workforce needs, as employers struggle to fill job vacancies, and mitigating the…
