THE CENTER SQUARE—California Gov. Gavin Newsom says the state is now the world’s fourth largest economy. But after accounting for the high cost of goods and services, California only barely edges out low-performing Italy, with the state’s continued losses in private sector jobs amid falling corporate and sales tax revenue painting a darker picture of the Golden State’s economy.
“California isn’t just keeping pace with the world—we’re setting the pace,” said Newsom on the 2024 economic rankings. “Our economy is thriving because we invest in people, prioritize sustainability, and believe in the power of innovation.”
However, after accounting for purchasing power parity—how much can be purchased in the local economy with local currency, which provides a more accurate comparison—California’s economy is ranked 11th, at $3.6…
