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 2026-27 Budget: University of California

Feb 26, 2026 - UC reserves also were impacted by the infusion of federal stimulus funding and one ‑time state funding provided in 2021 ‑22 and 2022 ‑23, with levels growing somewhat over those years. In 2023 ‑24 (the most recent year for which UC has reported data), UC reserves declined from 17  percent to 15  percent of annual core fund expenditures —equating to just under two months of reserves.
https://lao.ca.gov/Publications/Report/5143

A Framework for Allocating Federal Recovery Funds

May 4, 2021 - Some policy initiatives that involve upfront infusions of resources or entail costs large enough to be prohibitive in normal times become feasible in light of the federal resources. For example, the Legislature could use a portion of the funds to incentivize employer participation in reforming how the state ’s unemployment insurance benefit program is financed.
https://lao.ca.gov/Publications/Report/4422

The 2022-23 Budget: Governor’s Office of Business and Economic Development Proposals

Feb 11, 2022 - Capital Infusion Program (CIP) Provides Grants to SBDCs. The CIP is a competitive grant program for SBDCs, with a focus on expanding assistance in underserved geographic areas. The   2018 ‑19 Budget Act funded CIP at $3  million per year for five years.
https://lao.ca.gov/Publications/Report/4529

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

Assessing California’s Climate Policies—Implications for State Transportation Funding and Programs

Dec 13, 2023 - For example, it could ask voters to approve a bond in years where a large up ‑front infusion of funding might be desired to achieve economic stimulus, pursue specific high ‑priority transportation goals, or because other funding is not readily available.
https://lao.ca.gov/Publications/Report/4821

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

The 2024-25 Budget: Medi-Cal Analysis

Feb 14, 2024 - With this large potential infusion of funding, and in light of the General Fund budget situation, we recommend that the Legislature shift the remaining General Fund for the program —totaling $481  million across 2024 ‑25 and 2025 ‑ 26 —to bond support if Proposition  1 is passed by the voters.
https://lao.ca.gov/Publications/Report/4838