The two conflicting sides of California’s economy

Published August 11, 2025 8:00am ET



Gov. Gavin Newsom (D-CA) often points to California’s economy as a source of pride, but critics argue the figures mask the everyday hardships residents face and fail to capture the state’s broader challenges.

California eclipsed Japan this year to become the fourth-largest economy in the world, behind only the United States, China, and Germany. With a whopping $4.1 trillion in economic output, the state would be among the biggest if it were a nation.

Already a print subscriber? Click here to login/register your account

Trusted reporting.Unlimited access.

Subscribe for full access to Washington Examiner coverage, expert political analysis, and subscriber-only journalism.

Get Unlimited Access

Already a member? Log in

Cancel anytime.