How Have Past Stock Market Downturns Affected Income Tax Revenue? [EconTax Blog]

Mar 9, 2026 - The Nasdaq composite, which includes the California headquartered companies Nvidia, Google, Facebook, Apple, AMD, and Broadcom, has doubled since 2023. The meteoric rise in the value of these companies has led to sizable gains for their investors and their employees via stock options, which has led income tax collections to grow at double-digit rates.  
https://lao.ca.gov/LAOEconTax/Article/Detail/852

How Have Past Stock Market Downturns Affected Income Tax Revenue? [EconTax Blog]

Mar 9, 2026 - The Nasdaq composite, which includes the California headquartered companies Nvidia, Google, Facebook, Apple, AMD, and Broadcom, has doubled since 2023. The meteoric rise in the value of these companies has led to sizable gains for their investors and their employees via stock options, which has led income tax collections to grow at double-digit rates.  
https://lao.ca.gov/LAOEconTax/article/Detail/852

Frequently asked questions concerning Facebook and California's General Fund

Aug 1, 2012 - Frequently asked questions concerning Facebook and California's General Fund Frequently asked questions concerning Facebook and California's General Fund Program: Revenues Finding or Recommendation: This item lists answers to frequently asked questions concerning Facebook's stock and California's General Fund budget for 2012-13.
https://lao.ca.gov/Recommendations/Details/618

LAO commentary on Facebook IPO and state revenue forecasts

May 15, 2012 - State tax revenue estimates regarding Facebook, therefore, require numerous assumptions. Because of these factors, there is a large margin of error surrounding both our Facebook revenue estimates and those of the administration.
https://lao.ca.gov/Recommendations/Details/596

Summary of LAO Findings and Recommendations on the 2012-13 Budget

Essentially, to avoid “double counting ” the Facebook income, this means that both of our revenue estimates consider the economy without Facebook and then add PIT revenues on top of those estimates to account for the IPO.
https://lao.ca.gov/laoapp/budgetlist/PublicSearch.aspx?PolicyAreaNum=70&KeyCol=596&Yr=2012

2001 Budget Analysis: School Accountability

The Academic Performance Index (API) is the cornerstone of the PSAA. Its purpose is to measure a school's academic performance and the growth in performance over time. Recently, the second annual set of API scores was released, allowing the first API growth scores to be calculated.
https://lao.ca.gov/analysis_2001/education/ed_10_sch_acct_anl01.htm

^[PDF] Next Steps for Improving State Accountability for Alternative Schools

The state sets annual API “growth targets” for schools scoring below 800, produces a statewide API ranking of all schools, and develops a “similar schools” API ranking to compare demographically alike schools.
https://lao.ca.gov/reports/2015/edu/alt-ed/improving-accountability-051615.pdf

2001 Budget Analysis: K-12 Databases

The API Student-Level Database May Have Great Potential We withhold recommendation on the $5 million Academic Performance Index (API) database proposal because of the significant number of unanswered questions about how the API database will operate.
https://lao.ca.gov/analysis_2001/education/ed_12_Databases_anl01.htm

Next Steps for Improving State Accountability for Alternative Schools

During this period, however, API scores were not reported for many alternative schools. Figure 4 shows that in 2013 (the last year in which the state calculated API scores), the state published API scores for only half of alternative schools, compared to 97 percent of traditional high schools.
https://lao.ca.gov/reports/2015/edu/alt-ed/improving-accountability-051615.aspx

A New System of Support for Low-Performing Schools

Similarly, the state has set annual targets for API but allows schools and districts to satisfy the requirement if at least one point of growth on the API is made. The annual API target is set at 620 for all schools in 2007 –08 and increases by 30 API points each year.
https://lao.ca.gov/2008/edu/low_performing_schools/lowperforming_schools_0608.aspx