As expected, California leapfrogged Russia and Italy in 2013 to become the world’s eighth-largest economy, another sign the state is rebounding from years of hard times.
Tech Sector Elevates California’s Economy to No. 8 in the World
In an analysis by Steve Levy, director of the Center for Continuing Study of the California Economy, technology, trade and tourism are leading the state’s economy forward.
/ July 8, 2014
A new report from the Palo Alto-based Center for Continuing Study of the California Economy (CCSCE) says the state’s $2.2 trillion economy last year neared that of Brazil’s, the world’s seventh-largest. The U.S. economy as a whole led the world at $16.8 trillion, followed by China at $9.6 trillion. Rounding out the top five were Japan ($4.9 trillion), Germany ($3.6 trillion) and France ($2.7 trillion).
The data was compiled from the World Bank. According to the center’s report, last year the U.S. Bureau of Economic Analysis revised estimates of Gross Domestic Product to factor in spending on research and development, as well as entertainment and artistic products.
Steve Levy, CCSCE’s director, told TechWire in an email that “tech is certainly the leading sector in terms of contributing to recent growth” in California. In Levy’s analysis, the “three Ts” — technology, trade, tourism (and entertainment) — are leading the state’s economy forward.
At $2.2 trillion in 2013, California unsurprisingly had the largest economy of all states, leading Texas ($1.5 trillion), New York ($1.3 trillion), Florida ($800 billion) and Illinois ($720 billion).
California’s GSP — Gross State Product — grew 2 percent in 2013, slightly above its 1.6 percent average growth between 2000 – 2013.
This story was originally published by TechWire.