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: California's Fiscal Outlook

Nov 19, 2025 - This year, for example, our outlook reflects our best estimates of the effects of H.R. 1: One Big Beautiful Bill Act on the state budget but does not make assumptions about future federal policy changes.
https://lao.ca.gov/Publications/Report/5091

Whether or Not to Tap Reserves to Solve Estimated Budget Problem Emerges as Key Fiscal Decision Facing California’s Legislature

Apr 19, 2023 - Other downturns, such as the 2001 so-called dot-com recession, had severe fiscal implications while inflicting somewhat milder economic damage. The 2008 Great Recession had brutal effects on both the state ’s economy and budget.
https://lao.ca.gov/Publications/Report/4762

California gaming activities. [Ballot]

Oct 1, 2021 - This measure amends the Constitution to authorize games played with cards or tiles, including blackjack and baccarat, as long as they are not banking games, at cardrooms. The measure specifies that any revenues generated by these additional gaming activities will be subject to local tax or fee requirements that were in place as of January 2021.
https://lao.ca.gov/BallotAnalysis/Initiative/2021-009

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 2022-23 Budget: Wildfire Response Proposals

Jan 28, 2022 - Finally, given the amount of proposed funding, it will be particularly important to ensure that the mix of proposals represents the best mix of resources to improve the state ’s ability to respond cost ‑effectively.
https://lao.ca.gov/Publications/Report/4504

The 2026-27 Budget: Governor’s Sustainable Aviation Fuel Tax Credit Proposal

Feb 24, 2026 - The program is supported by state and federal funds and receives around $540   million annually —meaning this proposal would result in a reduction of about 9   percent each year. Overall, these reductions would result in fewer state and local transportation projects being funded each year.
https://lao.ca.gov/Publications/Report/5139

The 2026-27 Budget: K-12 Proposals

Feb 19, 2026 - Presumes Best Practices Can Be Scaled. Many categorical programs were created to encourage statewide adoption of best practices found to be effective. However, implementing best practices does not necessarily result in the same type of strong improvements when scaled at a state level.
https://lao.ca.gov/Publications/Report/5131