PPIC’s latest survey examines Californians’ perceptions of their financial situations and the broader economic outlook. It also gauges support for labor unions and policies that aim to promote economic well-being. At a virtual event last week, PPIC researchers Dean Bonner and Lauren Mora outlined key findings and talked about important takeaways.
Bonner noted that the well-being survey—now in its fifth year—includes an oversample of Californians with incomes under $40,000. “This allows us to examine the perceptions and experiences of this group at a much more granular level than would be otherwise possible,” he added.
Perhaps unsurprisingly, economic insecurity and worries about finances are most prevalent among lower-income Californians. For example, about half of those making less than $20,000 annually say they cut back on food or struggled to pay a bill in the past year, compared to less than three in ten Californians overall. And one in five have faced the threat of eviction, compared only 4% overall.
Although most Californians express satisfaction with their jobs and their household’s financial situation, they are pessimistic about the economic outlook. A majority expect bad economic times over the next 12 months, and only one in three think the American Dream—the idea that if you work hard you’ll get ahead—still holds true.
Bonner and Mora tied this pessimism to one of California’s biggest challenges: the cost of housing. “The cost and availability of housing is undoubtedly a huge problem,” Mora said. “Housing is usually one of the issues people name as the state’s biggest challenge.” Bonner noted that achieving the American Dream is often linked to being able to buy a house. “For many people that’s not feasible,” he added. “That’s probably feeding into the notion that the American Dream no longer holds true.”
There is overwhelming support for many policies designed to improve economic well-being. For example, roughly three in four or more adults and likely voters favor government funding for job training, a public health care option, increased funding for child care, and expansion of the Earned Income Tax Credit.
However, Bonner noted that even though the survey—which was conducted just after the election—found that 58% of likely voters support raising the minimum wage, a measure to increase it to $18 an hour was narrowly defeated in November.
For Mora, one notable takeaway is the degree of bipartisan agreement on some issues. “Roughly nine in ten across parties think that the wealthy and poor should have equal influence on policymaking, and roughly eight in ten across partisan groups think building an economy that gives every American a chance to succeed should be a high priority for the next president.” Perhaps the most notable overall takeaway is the consistency of the survey’s findings over time. “We’ve seen elevated levels of worry for a number of years, as well as support for policies that could improve well-being,” Bonner said. “The consistency over a number of surveys is quite stark.”