EXECUTIVE SUMMARY
California was built by people with
aspirations, many of them lacking
cultural polish or elite educations, but
dedicated to hard work, innovation,
family and community. A large number
came from other countries or poor
backgrounds: sharecroppers from the
South, campesinos from Mexico, people
fleeing communism and poverty in Asia,
escapees from Hitler’s Europe or Okies
and others fleeing the dust bowl.
This proud legacy is threatened. California
has now taken on an increasingly
feudal cast, with a small but growing
group of the ultra-rich, a diminishing
middle class, and a large, rising segment
of the population that is in or
near poverty. Indeed, amidst some of
the greatest accumulations of wealth
in history, California has emerged as a
leader in poverty, particularly among
its minority and immigrant populations
and throughout its interior.
Something is clearly wrong with this
picture. Yet our state leaders, and too
many of our business and civic leaders,
are convinced that California, far from
being something of a cautionary tale,
offers a great “role model” for the rest of
the country.1
The state’s drift towards an
ever more unequal, feudalized society,
characterized by concentrated property
ownership, persistent poverty levels, and
demographic stagnation does not seem
to concern our Sacramento leadership.
What needs to change? If we want to
again be a place of opportunity for all,
we need to dial down California’s increasingly
expensive, messianic land use
and climate change policies, which have
dramatically increased housing and
energy costs, forcing individuals and
companies elsewhere. This will allow
us to develop more housing and midd
le-class jobs, especially in more affordable
areas such as the Central Valley and
the Inland Empire. A dramatic reform
of our education system, which underserves
our next generation, particularly
in poor and minority communities,
needs to be enacted. Other steps, like
investing in basic infrastructure—roads,
dams, electric transmission—could
boost the flagging blue collar economy
of the state.
“California has now taken on an increasingly feudal cast, with a small but growing group of the ultra-rich, a diminishing middle class, and a large, rising segment of the population that is in or near poverty"
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