Californians Think Economy is Top Policy Issue for 2023
70% of Californians say they pay too much in taxes, 85% says the budget deficit is a problem, and 52% would rather pay lower taxes and receive fewer services.
Californians says that jobs, the economy, and inflation are the most important issues for the governor and state legislature in the near future. The findings in Californians and Their Government, a February 2023 PPIC survey, provide a snapshot of the priorities and concerns of the state’s residents on a range of political and economic issues. (The poll was conducted from January 13 through January 20, 2023.) The following is a selection of questions and responses on key issues for business and the economy.
Political and economic outlook
Which one issue facing California today do you think is the most important for the governor and state legislature to work on in 2023?
23% jobs, the economy, inflation
20% homelessness
6% environment, pollution, climate change
6% housing costs, availability.
Overall, do you approve or disapprove of the way that Governor Newsom is handling the issue of jobs and the economy?
57% approve
42% disapprove
2% don’t know
Do you think things in California are generally going in the right direction or wrong direction?
49% right direction
49% wrong direction
2% don’t know
Would you say the state government is pretty much run by a few big interests looking out for themselves, or that it is run for the benefit of all of the people?
67% a few big interests
31% benefit of all the people
2% don’t know
Do you think that during the next 12 months we will have good times financially or bad times?
32% good times
66% bad times
2% don’t know
Would you say that California is in an economic recession, or not?
22% yes, serious recession
33% yes, moderate recession
7% yes, mild recession– yes, don’t know (volunteered)
36% no, not in an economic recession
2% don’t know
Have recent price increases caused any financial hardships for you or others in your household, or not?
30% yes, serious
30% yes, not serious
1% yes, don’t know how serious (volunteered)
39% no, have not caused hardship– don’t know
Budget and taxes
Overall, do you approve or disapprove of the way that Gavin Newsom is handling the issue of the state budget and taxes?
52% approve
46% disapprove
2% don’t know
How fair do you think our present state and local tax system is—would you say it is very fair, moderately fair, not too fair, or not at all fair?
3% very fair
39% somewhat fair
38% not too fair
19% not at all fair
1% don’t know
When you combine all of the taxes you pay to state and local governments, do you feel that you pay much more than you should, somewhat more than you should, about the right amount, or less than you should?
31% much more
39% somewhat more
26% about the right amount
4% less than you should
1% don’t know
Where do you think California currently ranks in state and local tax burden per capita? Compared to other states, is California’s tax burden per capita near the top, above average, average, below average, or near the bottom?
42% near the top
29% above average
19% average
5% below average
3% near the bottom
2% don’t know
Do you think the state budget situation in California—that is, the balance between government spending and revenues—is a big problem, somewhat of a problem, or not a problem for the people of California today?
34% big problem
51% somewhat of a problem
13% not a problem
2% don’t know
Listed below are some of the largest areas for state revenues. Please select the one that represents the most revenue for the state budget:
43% personal income tax
30% sales tax
15% corporate tax
10% motor vehicle fees
3% don’t know
Governor Newsom recently proposed a budget plan for the next fiscal year that includes $297 billion in general fund spending and a $22.5 billion budget shortfall. The plan also contains $3.9 billion in “trigger reductions,” or cuts from the budget that would be restored in the future if economic conditions improve. Despite the projected shortfall, the plan currently includes no new taxes. In general, do you favor or oppose the governor’s budget plan?
60% favor
35% oppose
2% haven’t heard anything about the budget (volunteered)
3% don’t know
Governor Newsom’s budget plan includes a combination of cuts, delayed spending, and shifts in funding sources to bridge the gap between spending and revenues. Currently, the plan calls for spending cuts to areas such as workforce training, transportation, housing programs, and efforts to fight climate change. In general, do you think this is a good idea or a bad idea?
48% good idea
50% bad idea
2% don’t know
Currently, California’s total budgetary reserves are $35.6 billion, which includes $22.4 billion in the Budget Stabilization Account or “Rainy Day Fund.” Given concerns about a possible nationwide recession, as part of the budget proposal Governor Newsom refrained from accessing the Rainy Day Fund to partially address the current budget shortfall. In general, do you think this is a good idea or a bad idea?
70% good idea
26% bad idea
4% don’t know
Despite a projected budget shortfall, the governor’s budget proposal continues to sustain promised investments that, among other things, expand transitional kindergarten, sustain universal school meals, support the state’s homelessness strategy, and expand health care access—including expanding Medi-Cal to all income-eligible Californians, regardless of immigration status. In general, do you think this is a good idea or a bad idea?
66% good idea
32% bad idea
2% don’t know
In general, which of the following statements do you agree with more—I’d rather pay higher taxes and have a state government that provides more services, or I’d rather pay lower taxes and have a state government that provides fewer services?
45% high taxes and more services
52% lower taxes and fewer services
2% don’t know
Climate policy
In general, do you think it is a good thing or a bad thing that a majority of voters can make laws and change public policies about the climate crisis in California by passing initiatives? [likely voters only]
68% good thing
30% bad thing
2% don’t know
Do you strongly agree, somewhat agree, somewhat disagree, or strongly disagree with this statement: California would benefit from having a citizens’ assembly on the climate crisis facing the state today, where a group of randomly selected citizens would meet over several days, gather information, discuss issues, and make recommendations for ballot initiatives to take action on the climate crisis? [likely voters only]
15% strongly agree
38% somewhat agree
22% somewhat disagree
24% strongly disagree
1% don’t know
Do you think it is necessary to take steps to counter the effects of climate change right away, or do you think it is not necessary to take steps yet?
74% take action right away
25% not necessary to take steps yet
2% don’t know