Why is California so rich?

Question

Have you been to the city of Irvine? West L.A.? Coastal cities? Everywhere we go, we see prosperity.

I always wanted ask the question, why is California so rich?

Or what industry, business, or any other economical activities make California rich?

Answer 1

Two reasons:
First, the extremely diverse economy
-High tech
-Tourism
-Motion picture & television
-Oil & gas
-Real estate & mortgage
-Biotechnology
-Aerospace
-Mining
-Manufacturing
-Farming & agriculture
-Computer hardware & software
-etc., etc., etc.

Second, the excellent weather. California is considered to have the best weather of any state in the US. Therefore, when the wealthy in Europe, Asia, Central and South America look for a second home or retirement home, they choose California, which brings a huge influx of cash into the state.

Answer 2

There are many factors to consider, but the biggest reason here is real estate.

Think musical chairs. You walk around the music stops you all sit down, except the slowest guy. Right? In California it's the same way. There is only so much land out there that is desirable. And, all that land is already taken. Which drives the property value up. Therefore you can't move to any of these nice places unless you have a considerable amount of money. So the people who are already there can only be replaced by (or bought out by) wealthy people. And in turn for that, all the local shops there can charge more for what ever they sell, because they deal with rich people and the cycle goes on. Some areas are better or worse than others. But its funny that, because of the sharp rise in the property value there, many of the home owners in CA who bought just 10 years ago or more, could not afford to move to their same house today. There is talk that the real estate boom will soon, or has already peaked in CA, but they will still prosper. The rich people who can make it to the top will not just fall away because of a change in the real estate market. Now that you have the answer you too can be rich. Right? ;-)

Answer 3

California invents and creates stuff that the whole world wants. Movies from Holliwood, iPods from Silicon Valley for example.

There is a vibrant spirit of innovation and enterprise in California. What makes California rich is its people. The California population has an amazing mix of origins and ethnicities.

People continue to come here because of the opportunities (although a few are going the other way now, leaving the state, because of the price of housing).

Answer 4

Gold rush started the influx of people. Coastal cities (and water way cities) are always a major spot of trade in any area. Silicon valley is a big part of California right now. California also has a very comfortable year round temperature with no extremes which makes it a nice place to live.

Answer 5

It's the fact that the wealthy people like to shack up by the beautiful coast and be close to the ocean, not to mention there are so many stores and a lot to do.

Answer 6

not all in california are rich...... try some other towns like east L.A "i belive" , Salinas ca, some parts of San jose, etc etc. if it was so easy being rich in california, we wouldnt be loosing so many factorys to other states.

Answer 7

Money...Lots of money!!!!!