Trying to understand Californias economic situation (San Francisco, Fresno: transplants, real estate, look for a job)

[Tex?Il?]

Californias a big state with so many different industries, and please correct me if I'm wrong in my anaysis. I'm thinking of moving there sometime in the next couple years, (not necessarily permanently, and with a job first though).

From what I understand the two sectors of Californias economy is what really drags the states economic stats down.

First off: the state sector. State jobs are in the toilet from what I understand. Illinois is in the same boat.

Secondly: Construction/real estate. Its seems that so many small cities, far from LA, San Francisco, and San Detgo basically had an economic boom largely based on real estate. Either second home/resort/retirement destinations like Santa Barbara, Palm Springs, or Monterrey, or central valley cities where cost of living was low, yet still commutable to bigger metro areas like Stockton, Modesto, or Victorville, by LA. Or even Fresno, or Bakersfield, whose attraction for relocated was that is was cheap.

The actual not real estate economy of these places was not really based on anything substatntial or nationally significant. Essentially it was construction. There was the only thing created a boom in inland California. Once real estate tanked those cities were left in the dust. Also, fluctuations in defense spending I'm sure hurt the small cities.

Now, even though taxes, regulations, and the overall national recession have certainly affected the high tech industries of the Bay area, the entertainment industries of SoCal, or the manufacturing/transportation of the ports, being on the Pacific Rim, closer to booming, Asia, Latin America, etc. Sure some movie making has moved elsewhere, but LA is still the absolute capitol of entertainment and media.

It just seems to me that whatever happens, the Bay Area, LA-Orange County, are just too big and too nationally/globally important, and the centers of so much, that these areas can't possibly fade to obsolescense, and will always be top destinations for immigrants, transplants, etc.

What do you think. Is my analysis somewhat accurate?

[Charles]

Originally Posted by Tex?Il?

What do you think. Is my analysis somewhat accurate?

It might be.

[jimhcom]

California is one of the most financially dynamic States in the Union. The problem with California is it's State government. Not only has the government spent the State into bankruptcy, it has done almost everything possible to stifle every form of business that tries to exist here.
California had a huge farming industry, but the State cut off their water. They had a huge oil industry, but the State made it impossible to build new refineries or to drill new wells. Ridiculous environmental laws make it nearly impossible for business to comply with regulations. The large fishing industry is now non existent, as is the timber industry. High costs of living mean any business locating here have higher payroll costs on top of trying to deal with endless environmental regulations.
California could be an economic powerhouse, but the State government is intent on strangling every business and citizen in the State until they all leave in disgust.

[Curmudgeon]

Good luck with that. So's California. The Legislature just doesn't get it or doesn't really care so long as they get theirs!

[Majin]

If you have a marketable job skill you will get a job, period, despite what the unemployment rate is.

[wellyouknow]

Actually, agriculture (including some of the best wine) is one of biggest sectors in CA. Folks often forget this fact with all the Sillicon Valley and Hollywood tripe.

[CA4Now]

Originally Posted by Tex?Il?

Californias a big state with so many different industries...It just seems to me that whatever happens, the Bay Area, LA-Orange County, are just too big and too nationally/globally important, and the centers of so much, that these areas can't possibly fade to obsolescense, and will always be top destinations...

Of course they won't fade into obsolescence. That doesn't mean that many industries here haven't been hit hard right now. If you do come to CA, just don't look for a job in the government sector.
California jobs: California unemployment rate ticks up to 12.5% - latimes.com