What Went Wrong With California?

Since the gold rush, California has been the go-to state for start-up companies. In recent years the Golden State has been losing the competition with neighboring states. More than 500 businesses have left California since 2005. Among these businesses were Fortune 500 companies and the economic impact from these departing companies is likely to be severe.

California’s tax laws and prohibitive regulations are the leading causes of the massive corporate exodus. The business-friendly conditions, opportunities to save costs, and home-ownership options for employees in other states are a few reasons companies have decided to leave California. These factors led to the first three-year decline in population in Californias history. In today's video we ask, what went wrong with California?

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[CanalTremocos]

Patrick finally picking a side on the East Coast / West Coast rap feud.

[morgan]

Hearing that California singlehandedly has a larger economy than all of India is insane, and puts some things in perspective...

[colineason]

"Over 419 thousand regulations" Patrick didn't want to say 420

[marianchicago]

Not sure if people remember or Patrick heard the story but 7-12 years ago, city of San Francisco was trying to build a public toilet in a park for the homeless, it paid over 1.2 million dollars to have a single toilet built, I believe like 3 different consulting companies were brought in, 2 architectural companies worked on it, it had to clear 5-7 different commissions including environmental impact, there were lawyer fees at almost every step, I believe the actual construction of the toilet was the smallest of the expenses to build the actual public toilet. California is a poster child for doing what sounds good instead of doing what works.

[I_Am_The_Devils_Advocate]

24:22
"Designed in California
Assembled in China
Taxed in Ireland" 😂😂😂

[kennyle]

I'm not homeless, so I can't speak from experience on the matter, but I do want to offer one possible reason why half the homeless are in the Golden state. If I were homeless, it's possible to live year-round on the streets of the metropolitan sections California. It wouldn't be pleasant, but survival is possible. The same cannot be said for, say...Maine or Wyoming. You'd die from the bitter cold. That fact alone would pay a large part of where I'd want to migrate to, if possible.

[DataIsBeautifulOfficial]

The only startup currently scaling in California is U-Haul.

[chrisholbrook]

As an economic refugee from California I can really agree with all of this! It was a great place to live 30 to 50 years ago, but, sadly, it has changed for the worse. I miss it, but I am never going back.

One thing that you didn't go into is the number of houses that were bought by investors, rather than residents. Over 20% of houses bought in many California cities are bought by investors who have no intention of ever living in those houses. As a financial market California Real Estate is a much more attractive investment than the stock market or other options!

[Muljinn]

A couple other pressure’s on California’s water problems is their staggeringly wasteful approach to irrigation and their rotting water infrastructure. Not that many years ago, nearly 40% of the treated water in LA was lost to leakage and *nobody* was making any serious effort to fix that.

[Subx-x]

I remember california when i was a kid... Seemed like a mythical place full of synth wave music, hot babes and eddie murphy

[Mobius_Pizza]

I moved from CA to MI, losing 10% salary, but has housing cost slashed by half, gasoline cost slashed by half, general living expenses down by 20%, , and is much happier with life in general. The schools are better with longer hours more suitable to working parents too.

[markrichardscaliforn]

Born California .Joined the military at 17, saw the world. Went to college in California, latter traveled the world. Worked 30 years freelance, saw the world. One thing not said enough, the weather, the beauty, the land… nothing like in the world in one state. I have a more than one bad health thing. I still run at night on California trails, on California land… with California weather. I love California. I am sorry for all people’s issues here. Lived in Texas lived in many a state… many only weeks at a time, all nice… but they weren’t California. I have been lucky, I have made mistakes… so has California…. I am still here
Going to the beach, running in the hills.

[DeepakKutsa]

When you said “the arts” and showed and “NFT” 😂

[laraharrison-stow]

OOf that apple taxed in ireland gag is gonna win you a letter from a lawyer written in helvetica

[famenycvp]

I am a New Yorker living in CA for over 6 years now. Grew up in NYC - moved to LA for “weather & lifestyle”. Disliked LA and now living in coastal San Diego neighborhood. Cost is crazy - tax is nuts - policies are bonkers. I don’t deal with homeless because our neighborhood is very private and wealthy.

From my perspective - the people that choose to reside here now are mainly doing this for lifestyle and quality of life. Basically if you can afford it good for you. The avg cost for a home in my neighborhood is over $1.5M

[JCDenton]

My family went to Las Vegas from LA in the early 2000s shortly after 911. We had no future in CA, but in NV my mom was able to buy a house on her income alone after my dad passed when before the two together couldnt afford anything in CA.

Social costs existed too, they had 2hr plus commutes to work each way. I was literally raised by my nanny, and knew more spanish than english and thought she was my mom because I never saw my real parents.

NV was not perfect, I eventually moved on, but it gave two and then one professional a better shake than CA did, and put me through college virtually debt free (10k only) with state scholarships and other support.

I hope California turns it around, there isnt a more beautiful place in the country, but things have to change.

[TheJamonLance]

Yo, it's Patrick Boyle, the finance rap king,
Talkin' 'bout Cali, where the tax man stings,
People packin' bags, headin' out of state,
Cuz crime on the rise, and the rent's too late.

Homeless in the streets, man, it’s outta control,
Regulations got 'em stuck, losin' all their soul,
From Silicon Valley to L.A.’s shore,
Folks sayin', “I can’t take it no more!”

Boyle’s droppin' bars, mixin’ knowledge and facts,
Rappin' ‘bout taxes that hit like an axe,
If Cali don’t change, the exodus won’t stop,
So listen to the finance king when he drops!

[brenolad]

Those CA unemployment statistics are way off. Many high-skilled gig workers who were previously employed at Hollywood studios have no work. The entertainment industry is at an all-time dismal low, and those freelance gig-workers aren’t considered in those unemployment statistics. The unemployment rate in CA is far worse than what’s on paper.

[SlavikChiley]

Okay, the dry "fruits and nuts" jab was hilarious. 0:15 Credit where credit is due.

[natest.laurent]

the water shortage doesn't just hurt agriculture. it directly impacts residents with obscene water bills. i left the state ten years ago, but back then my water bill was more than my electric, internet, and recycling combined.
also it's hard to overemphasize how wild the housing market is.