CA economy was slow well before Trump’s rates

From And WaltersCalmness

This comment was originally published by CalmattersS Register about their ballots.

Last week, governor Gavin Newm and General Prosecutor Rob Bont Filed A trial It disputes the legality of the widespread imposition of President Donald Trump on imported goods.

“President Trump’s illegal tariffs are chaos for families, business and our economy in California, stimulating prices and threatening jobs,” Newsom said.

Thehe Tariffs could have all these negative impactsBut California’s economy was already slow.

Like Gabe Petek, the budget analyzer of the legislation, said in January A response to the Newsom state revenue forecast, “These profits are not tied to improvements in the broader economy of the country, which is more free, with increased unemployment, a stagnant labor market outside the government and slow consumer expenses.”

California has more than a million unemployed workers and the unemployment rate is bound to the second highest among countries.

“Job growth remains concentrated in the government and government, supporting health and social services, while other private industries continue to throw jobs,” according to Center for Jobs and EconomyHand of the California Business Table Trade Group.

Almost every major segment of California’s economy has been faced with hard winds in recent years, but the only one who has enjoyed a political notice is the film industry in southern California, which sees other countries and nations to lure the production of lower costs and subsidies.

“These business solutions have significant consequences for thousands of middle -class workers in the industry: camera operators, decorators and lighting technicians who make movies and television,” New York Times reportsS

NEWSOM and the legislature plan a A major increase in state subsidies To maintain production in California, but it may be too small and too late.

Meanwhile, “significant loss of technological jobs in the Bay area so far this year is a huge shock to the bay economy and the labor market”, Scot Anderson, Chief Economist with BMO Capital Markets, recently told East Bay TimesS “The technological trend of job loss has been around for some time, but the deterioration during the first two months of the year is concerned.”

Tariffs can hit the most important economic driver of Southern California – the Gemini of Long Beach and Los Angeles and the warehouse complexes in the interior of the region – especially difficult. But this sector was already facing increasing costs that undermined its competitiveness.

Thehe Alliance for the movement of goodsCoalition of Business Groups supports Newsom’s challenge to tariffs, but also cites state policies, industrial electricity is twice as big as the average for the country and high prices of gasoline and diesel fuels as negative factors, as well as as as negative factors New Ship Pollution Control and legislation to combat passage.

California’s largest agricultural industry including IT Wine sectorIt is also shrinking, largely due to the uncertain supplies of water, shortage of labor and the same high costs of electricity and fuel that the logistics industry faces.

Thehe California Public Policy Institute has estimated that “even in the best scenario, it may take about 500,000 acres to be evaporated in the San Joaquin Valley” due to restrictions on water irrigation water from underground aquifers.

Finally, although the government is the most important employment engine in California, the government-funded medical services, in recent years, has also been facing gloomy times. The state budget has been sunk in what fiscal experts call A ”structural deficit“And almost every big city, some counties and large school districts are in the same pickleS Los Angeles and San Francisco were particularly struck after a few years of review, and their leaders, such as Los Angeles Mayor Karen Bass, warn that dismissals may be inevitableS

Trump’s tariffs can make things worse, but California’s economic woes have preceded Trump. Much of it was self -exposed.

This article was Originally Published on CalMatters and was reissued under Creative Commons Attribution-Noncommercial-Noderivatives License.