Letter from the Center Director
In the last few years, Californians have weathered a lot. The tumult of the pandemic on businesses, the instability of rapidly rising prices, and the anxiety caused by international turmoil and a potential recession have made for chaotic and uncertain times.
Weather extremes—one manifestation of climate change’s impact—and the rapid development of new technology fuel even more questions about what’s next. How will we as individuals and communities fare? How can the state work toward a future in which more Californians prosper?
Over the last century, California has established itself as a powerhouse of innovation and wealth-building, with great potential to succeed in the face of new challenges. At the same time, the gap between the rich and the poor has grown—extending across various dimensions, such as race and ethnicity, gender, region, and education. While not unique to our state or even the nation, the contrast of vast wealth alongside high poverty is particularly striking in the Golden State. Over seven in ten Californians believe that children growing up in the state today will be worse
off than their parents.
What’s clear from decades of evidence is that inventive ideas and hard work alone are not sufficient to achieve economic well-being. Building an economy that improves the prospects of individuals, communities, and the state as a whole means ensuring that all Californians have a chance to succeed, regardless of their family income and the zip code they were born in.
With so many accumulated challenges underfoot and more on the horizon, now is the time to ensure California and all its people can thrive. To that end, we have launched the PPIC Economic Policy Center. The center provides accessible, nonpartisan research and serves as a forum for a non-ideological, evidence-based discussion of real-world strategies and solutions. By focusing on how the state can build on the skills, diversity, and innovation of Californians, we seek to inspire practical policy solutions that promote a robust, resilient economy, improving the prospects of workers, families, and businesses statewide.
This brief considers the key economic challenges on California’s doorstep—and the most critical policy priorities for surmounting them. To support effective policy change, the PPIC Economic Policy Center contributes actionable, trustworthy data and research in three key areas:
- Tracking trends. We create a common set of facts and facilitate a broad understanding about current economic trends and future possibilities.
- Evaluating policies. We analyze California’s labor market to identify policies that support prosperity, for both workers and businesses.
- Removing barriers. We investigate labor market barriers to economic advancement and provide pragmatic policy solutions.
I am honored to be the inaugural director of the PPIC Economic Policy Center. I look forward to working alongside you and the many other engaged Californians to advance an innovative, equitable, and resilient economy for all Californians, now and in the future.
Sarah Bohn
Director, PPIC Economic Policy Center
John and Louise Bryson Chair in Policy Research