This chart, from the just-released UCLA Anderson Forecast, tells a very clear story about both why California's economy is so bad and what it needs to do to make it better (Sorry I can't make the actual chart a bit more clear!). We're creating jobs in health care, tourism, and scientific and technical services. We're losing jobs in construction, retail, and government. Everything else is pretty much flat.
Here's what that means. California needs to play to its strengths and be strategic about its future. We have a good shot at being the global leader in keeping people heathy longer and in caring for not just our own aging population, but the aging populations of other countries, especially China.
People still like beaches, sunshine, and Disneyland. Probably the Golden Gate and wine country, too.