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

The 2022-23 Budget: Cap-and-Trade Expenditure Plan

Jan 25, 2022 - Plus, if annual revenue continues to grow, this structure would allow the Legislature to use the annual budget proce ss to determine how to allocate the additional funding in a way that best reflects its changing priorities.
https://lao.ca.gov/Publications/Report/4496

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 2021-22 Budget: Child Care Proposals

Feb 11, 2021 - Given the magnitude of the proposed backfill for CDE, it does appear that D SS would likely have more funding and positions under the Governor ’s proposal than required to address its new workload. Since there is no new workload across both departments, a cost neutral shift would be reasonable.
https://lao.ca.gov/Publications/Report/4363

The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - For California, the dot ‑com era —when stocks rose and then fell precipitously in response to widespread adoption of the internet —offers the most salient example. The internet has proven to be a transformative technology and, yet, the stock market ’s initial reaction was clearly overly exuberant.
https://lao.ca.gov/Publications/Report/5091

MOU Fiscal Analysis: Bargaining Unit 6 (Corrections)

Jun 23, 2025 - Should this agreement be ratified by the Legislature and CCPOA members, the resulting savings would help the state addre ss the budget problem. As the administration is still negotiating with other bargaining units, however, whether the administration ’s assumed savings will be achieved fully is yet to be known.
https://lao.ca.gov/Publications/Report/5058

Home Price Update: October 2021 [EconTax Blog]

Nov 18, 2021 - Previous recessions have had disparate effects on home prices: they were largely unaffected by the collapse of the dot-com bubble in 2001, while in the late 2000s the collapse of the housing bubble was the single biggest factor that led to the financial crisis.
https://lao.ca.gov/LAOEconTax/Article/Detail/714

The 2024-25 Budget: CalFire—Implementation of a 66-Hour Workweek

Mar 19, 2024 - In adopting the Unit 8 MOU, along with the various other actions it has taken in recent years to address concerns about the health and wellne ss of firefighters, the Legislature has demonstrated that it prioritizes this  issue.
https://lao.ca.gov/Publications/Report/4886