Report: California slips to world's 9th largest economy
Center for Continuing Study of the California Economy: California's Bay Area had a larger economy than Switzerland in 2010.
January 13th, 2012
08:20 PM ET

Report: California slips to world's 9th largest economy

California has long had an economy larger than most nations, but nominal growth has once again seen it slip on the top 10 list.

The state dropped to ninth on the list of world’s largest economies as measured by gross domestic product in 2010, according to a report this month from the Center for Continuing Study of the California Economy.

Brazil, with a 2010 GDP of $2.1 trillion, took the eighth spot from California ($1.901 trillion). India was 10th, at $1.7 trillion.

The United States, including California, was top of the list at $14.5 trillion. China ($5.9 trillion), Japan ($5.5 trillion), Germany ($3.3 trillion) and France ($2.6 trillion) rounded out the top five.

The United Kingdom ($2.2 trillion) and Italy ($2.1 trillion) were sixth and seventh, respectively.

In the early 2000s, California was fifth in terms of GDP, which is the value of its goods and services. But slow growth – 1.7% annually since 2000, adjusted for inflation – has helped faster-growing countries catch up.

The U.S. annual growth rate of 1.6% during that period was slightly lower than California’s.

Stephen Levy, Center for Continuing Study of the California Economy director and senior economist, said the California-Brazil swap is more about Brazil rising than California falling. Brazil’s vast population advantage (190 million to California’s 37 million) and the increasing prices of commodities that Brazil exports are just part of the country’s rise, he said.

“There’s a number of countries that are embracing the technology that … has (been) developed, and they’re in a growth mode,” Levy said. "Exports and rising prices, yes, but generally they’re having great economic gains.”

Levy said California’s economy could soon surpass Italy’s, because of  a recession in Italy and a falling euro.

California’s economy is the largest of the 50 states. Texas ($1.207 trillion) and New York ($1.16 trillion) are next.

California’s 2010 GDP is a U.S. Department of Commerce estimate. The nations’ GDP figures come from the World Bank.

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Filed under: California • Economy
soundoff (75 Responses)
  1. hamsta

    no baby u got it all wrong shes jealous cuz i love u.

    January 14, 2012 at 12:52 am | Report abuse |
  2. hamsta

    What the hell?why u women got to be so greedy?why cant u share?besides its fun making crissy jealous.

    January 14, 2012 at 12:58 am | Report abuse |
  3. hamsta

    oh well ill settle for crissy,she does things u wont do.

    January 14, 2012 at 1:04 am | Report abuse |
  4. hamsta

    Well it was fun having a love triangle with a troll!have a good night everyone!

    January 14, 2012 at 1:13 am | Report abuse |
  5. chrissy

    Lmao @ trolls, good nite, thanks for the laugh oh and for making hamsta look human lol

    January 14, 2012 at 1:21 am | Report abuse |
  6. TORI©

    Not me on the poorly worded posts about DUI's. Not your best work troll. It is becoming patently obvious who you are.

    January 14, 2012 at 2:26 am | Report abuse |
  7. HI NEIGHBOR

    WHATS GOING TO HAPPEN NOW IS THE RESOURCES ARE BEING DEPLEATED

    January 14, 2012 at 4:13 pm | Report abuse |
  8. chrissy

    ty nicole a few troll posts got left behind tho, am pretty sure they trolled hamsta also! :)

    January 14, 2012 at 5:50 pm | Report abuse |
  9. Kandi

    Hmmm sounds like someone was making california a little bit richer in here drinking their wine!

    January 14, 2012 at 8:41 pm | Report abuse |
  10. José Henrique

    Brazil is the 6TH largest economy, and not the 8th... CNN is always commiting mistakes about Brazil. In 2009, I saw an article saying that the capital of Brazil was Rio de Janeiro... In other article, you said that Brazil was in Africa. In 2007 I saw (on TV) CNN saying that Brazil was a dictatorship. Once, you located Brazil in Africa, and you also said that brazilians speak spanish, writing the names of many brazilians cities in spanish (surprise: brazilians speak portuguese!!!).

    And so on...

    January 16, 2012 at 8:26 am | Report abuse |
  11. danny

    Comparing developing countires with an already developed state is silly. Of course california will continue to go down the list. Brazil has 220 m people as opposed to cali at 38m. etc

    May 1, 2013 at 8:01 pm | Report abuse |
  12. peter wolf

    There was a time when California's economy was always twice the size of Texas. No more. Since Texan growth rates far exceed California's, it is only a matter of time that it will be the biggest economy in the country. And when that happens, Sacramento ( Jerry Brown and all the usual ancient Democrats will still hold office of course) will respond with one of their usual ridiculous comments. Like it's all the fault of 'rich people'. Or Prop 13. Or global warming. Something like that.

    August 23, 2013 at 3:03 pm | Report abuse |
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