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

Mar 9, 2026 - By most measures, the global financial crisis was more severe than the dot-com crash. The state 's unemployment rate, for example, peaked at 7 percent following the dot-com crash but reached nearly double that during the financial crisis and remained elevated for much longer.
https://lao.ca.gov/LAOEconTax/Article/Detail/852

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

Mar 9, 2026 - By most measures, the global financial crisis was more severe than the dot-com crash. The state 's unemployment rate, for example, peaked at 7 percent following the dot-com crash but reached nearly double that during the financial crisis and remained elevated for much longer.
https://lao.ca.gov/LAOEconTax/article/Detail/852

California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - After the dot-com bust and the Great Recession, it took four and five years, respectively, for revenues to recover. Incorporating revenue risk into the budget now, therefore, reflects prudence, not pessimism.
https://lao.ca.gov/Publications/Report/5104

Oversight of certain public benefit artificial intelligence (AI) companies. [Ballot]

Jan 20, 2026 - The measure would have the following major fiscal effects: Increased state costs that would likely be in the tens of millions of dollars annually to establish and operate a new regulatory commission overseeing certain public benefit AI com panies.
https://lao.ca.gov/BallotAnalysis/Initiative/2025-033

The 2026-27 Budget: Food Assistance Programs

Feb 18, 2026 - This state share is only imposed on states that have a payment error rate of 6  percent or higher. As shown in Figure  1, the amount of the state share depends on how much the state ’s error rate exceeds 6  percent.
https://lao.ca.gov/Publications/Report/5126

The 2026-27 Budget: Bureau for Private Postsecondary Education

Mar 25, 2026 - In 2025, BPPE incurred $10  million in costs associated with an employment lawsuit, consisting of a $4  million jury award to the plaintiff and $6  million in plaintiff ’s attorney fees. To cover these costs, DCA issued a $10  million loan to the BPPE Fund from the Bureau of Automotive Repair ’s High Polluter Repair or Removal Account in December 2025.
https://lao.ca.gov/Publications/Report/5169

The 2026-27 Budget: How to Use One-Time Revenue Improvements

Feb 20, 2026 - In addition, recent budgets have relied on nearly $30  billion in borrowing to address deficits, and the Governor ’s budget proposes almost $6  billion in additional borrowing (see Figure  1). A period of strong revenue growth is not an appropriate time to draw down significant reserves or continue to rely on borrowing.
https://lao.ca.gov/Publications/Report/5133

California New Car Registrations: November 2025 [EconTax Blog]

Jan 6, 2026 - California New Car Registrations: November 2025 [EconTax Blog] California New Car Registrations: November 2025 January 6, 2026 Seth Kerstein As discussed in an earlier post , new car purchases can be a useful, timely economic indicator.
https://lao.ca.gov/LAOEconTax/Article/Detail/846

California New Car Registrations: November 2025 [EconTax Blog]

Jan 6, 2026 - California New Car Registrations: November 2025 [EconTax Blog] California New Car Registrations: November 2025 January 6, 2026 Seth Kerstein As discussed in an earlier post , new car purchases can be a useful, timely economic indicator.
https://lao.ca.gov/LAOEconTax/article/Detail/846

The 2026-27 Budget: K-12 Proposals

Feb 19, 2026 - As Figure  6 shows, the ELOP implementing legislation established two funding rates that account for TK ‑6 attendance and vary based on the proportion of a school district or charter school ’s students who are English learners or from low ‑income families (EL/LI).
https://lao.ca.gov/Publications/Report/5131