The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - The 2026-27 Budget: California's Fiscal Outlook Executive Summary Not Safe to Bet Artificial Intelligence ( AI) Fueled Exuberance Is Sustainable. Both the California and U.S. economies currently face significant headwinds.
https://lao.ca.gov/Publications/Report/5091

The 2026-27 Budget: Overview of the Governor's Budget

Jan 12, 2026 - That said, recent budgets have set the SFEU bet ween $3.5  billion and $4.5  billion, so the Governor ’s budget proposal to set the balance to $4.5  billion is generally in line with recent policy.
https://lao.ca.gov/Publications/Report/5101

New Inflation Poses Not So New Budget Risk

Dec 15, 2022 - History suggests that it is difficult for the Fed to weaken demand enough to reduce inflation but not so much as to tip the economy into a recession. This reflects that the Fed ’s tools for implementing changes in monetary policy are blunt and operate with a considerable lag, making attempts at fine-tuning very challenging.
https://lao.ca.gov/Publications/Report/4653