California Job Growth Faster Than the Rest of the U.S.

job-growth-ca

California is one of the most populous states in the nation, so it is no wonder that job growth in the state might be faster than the rest of the United States. Many critics believe that because of the state’s new clean energy law, California’s economy and job outlook might be on the decline, specifically in the oil industry. State Senator, Kevin de León, believes that the new clean energy law has no effect on job growth, as the economy remains consistent.

 

Were Kevin de León’s statements true?

There has been a great improvement in job growth since the Great Recession when that state lost over 1 million jobs between 2007 and 2009. This job improvement has come from a housing rebound, which provided more housing and construction jobs. Economists believe that de León’s statement about California outpacing the rest of the nation in job growth to be true. California’s job growth rate is in fact higher than the country’s overall job growth. Data collected from Chapman University’s Center for Economic Research showed that in 2014, California job growth went up 3 percent compared to the previous year. The country as a whole only saw job growth at 1.9 percent from the previous year. Chief economist at Point Loma Nazarene University, Lynn Reaser, also stated that California outperformed the country for 44 consecutive months. Although these are great numbers for the state, there were actually fourteen other states who also had a higher job growth rate, outperforming the country, in 2014.

 

Kevin de León ‘s statement open to interpretation

Although many believe that these statistics are what Kevin de León meant by the rest of the nation, others believe he could have meant something else. His specific words were “rest of the nation”, but this could have different meanings. He could be talking about the nation as a whole, or he could be talking about each individual state. If he was comparing California and looking at the nation’s job growth as a whole, then he is absolutely right in making the statement. However, there were five other states with faster job growth, with percents higher than the 3 percent California saw in 2014. North Dakota was at 3.8 percent, Nevada at 3.5 percent, Colorado at 3.3 percent, Florida at 3.2 percent, and Texas at 3.1 percent. California can’t be compared to each individual state based off of this data. The office for de León did clarify that the Senator meant that California added more total jobs than any other state, which was a faster pace than the nation.

We are going to assume that de León was in fact comparing California’s job growth to the nation as a whole. Statistics don’t lie, and the Senator is probably proud of his state, which is why he felt the need to boast about job growth and improvement throughout the state. Hopefully, job growth continues in California because it is such a highly populated state and Californians need jobs. It will also help with the great economy that the state already has.