Builders have said for years that Sacramento and California as a whole weren’t building enough new housing to meet demand. A new report released Thursday is now saying the same thing — and warns of consequences for the state's economy if things don't change.
California boasts some of the highest wages and fastest rates of job growth in the nation but high housing costs are pushing many people out of the state, according to a trio of reports released Wednesday.
The reports from Beacon Economics in Los Angeles address “Employment by Income,” the “Current State of the California Housing Market” and “California Migration.”
California's boom in high-wage jobs, such as those in the tech sector, has shoved housing prices skyward and threatens to squeeze low- and middle-income wage earners out of the Golden State, a report released Wednesday warned.
Those disturbing findings were contained in new research compiled by Beacon Economics and commissioned by Next 10, a San Francisco-based think tank.
California's business climate has been a perpetual target of ridicule.
Out-of-state politicians and critics of the state's regulations have delighted in depicting California as an inhospitable place to do business.
The Golden State perennially ranks at the bottom of national surveys gauging business friendliness. Chief Executive magazine recently called it a "deeply troubled" state, where companies are so over-regulated that "most cannot afford to do business."