California Governor Gavin Newsom, in an exclusive interview on “Hannity,” addressed the population decline and budget deficit in the state, urging Americans not to underestimate California’s potential.
When questioned about California’s declining population, Newsom pointed out that, per capita, more Floridians move to California than the other way around. While California experienced a population decline of 0.3%, 18 other states in the country also saw a decrease in population during the same period.
According to the state’s Department of Finance, California lost 117,552 residents between January 2021 and January 2022, bringing the population back to 2016 levels. In contrast, Florida experienced a significant influx of new residents from predominantly blue states with high taxes, with about 319,000 Americans making the move in 2022.
Newsom highlighted that California continues to create new companies and millionaires regularly. He emphasized the state’s economic growth, stating that half of America’s billion-dollar valued companies are located in California. The state’s economy has consistently outperformed the national average, with a GDP growth rate of 3.1% in the last decade compared to 2.1% nationwide.
Addressing concerns about high living costs, Newsom acknowledged California’s progressive tax system but emphasized that middle-class families actually pay less in taxes compared to the majority of states in the country. He denied responsibility for the state’s 13.3% top income tax rate, which was established before his tenure, and stated his opposition to further tax increases for the top 1% and statewide wealth tax.
Newsom downplayed the significance of major companies leaving the state, stating that California continues to create new companies and generate wealth. He highlighted the state’s economic success and its contributions to the American economy, including significant GDP growth, job creation, and operating surpluses.
Despite criticisms, Newsom expressed his love for California and urged people not to overlook the state’s opportunities. He emphasized that California remains a thriving economic powerhouse and should not be counted out.
Governor Gavin Newsom’s remarks aimed to counter concerns about California’s population decline and budget deficit, emphasizing the state’s economic strengths and its potential for continued growth and prosperity.