California Population Continues to Decline Due to High Cost of Living

While the so-called “California exodus” appears to be slowing, 2023 saw more than 75,000 Californians leave the Golden State. 

Continued decline

Image by Depositphotos.com

For decades, California’s population grew, eventually making it the most populous state in the union. However, in 2020 that trend reversed.

Years and years

Document stack, files, document, legal, law
Image by DepositPhotos.com

According to data collected by the US Census, the population has declined for the last three years in a row. However, the decline slowed in 2022, thanks to a reduction in deaths and an increase in foreign immigration. 

Exact figures

Illustration. Image via Depositphotos.com

“Foreign immigration nearly tripled in 2022 compared with the prior year,” the California Department of Finance explained in May 2023. “The 0.35-percent population decline for 2022, roughly 138,400 persons, marks a slowdown compared to the recent decline during the COVID-19 Pandemic.”

Zoom in 

Illustration. Image credit: Shutterstock

Nevertheless, some parts of California bucked the trend. San Francisco, for example, saw its population decline reverse, adding about 5,000 new residents during the 12 months ending June 30, 2023.

Consequences

Illustration. Image credit: Shutterstock

California’s population loss has national consequences. In 2021, the state lost a seat in the House of Representatives for the first time in its history.

Shift in power

Comparing, Scale, Balls,
Image by DepositPhotos.com

Texas and Florida, meanwhile, gained two seats and one seat, respectively. These population trends could shift the national power balance between the two leading political parties, and Republicans are actively working to further it.

Enticements

Illustration. Image credit: Shutterstock

“Texas politicians have long sought to woo California residents and businesses,” an AP report from 2021 explained. There and in Florida, “business-friendly policies and lower costs of living have fueled high-octane growth over the past decade.”

Strategic success

Media Interview - journalists with microphones interviewing formal dressed person
Image by Depositphotos.com

“There will be gloating — political gloating — I can guarantee it,” Sherry Bebitch Jeffe, a professor of public policy communication at the University of Southern California, told AP.

Seemingly paradoxical

Warning, whisper, stop, secret
Illustration. Image credit: Depositphotos

According to the June 2023 California Community Poll, 70% of Californians expressed high happiness with living in the state. Nevertheless, 40% of them are still considering leaving.

Reasons to leave

Illustration. Image by Depositphotos.com

It’s not that residents want to leave, then, but that they simply can’t stay. The majority of those considering leaving California are doing so because of the prohibitive cost of living.

Unfortunate situation

Illustration. Image credit: Depositphotos

“The state’s culture and diversity have proved to be a very powerful magnet to keep a lot of people here, even despite the affordability challenges,” Dan Schnur, a Californian and communications professor, explained to USA Today. “But as the cost of living continues to be a greater challenge, it’s logical to assume that the allure of moving to a more affordable location is going to continue to grow.”

Seeking affordability

Illustration. Image credit: Shutterstock

Between 2017 and 2021, more than 180,000 Californians moved to Arizona. However, tens of thousands of Arizonans moved in the opposite direction during the same period.

Major issue

money
Illustration. Image credit: Shutterstock

Housing in California is among the most expensive in the nation, and is one of the major causes of the state’s affordability problems. Per a recent report by real estate brokerage Redfin, “Homebuyers leaving Los Angeles, for instance, are most commonly moving to Las Vegas, where homes are roughly half the price.”

More from AllThingsFinance: Court Finally Unseals Secretive Case of Jan 6 Offender

Image by Gallagher Photography / Shutterstock.com

Samuel Lazar sentenced for Jan. 6 insurrection; previously confidential case now revealed: Court Finally Unseals Secretive Case of Jan 6 Offender

Jack Smith continues pushing Judge Cannon, reminding her that “the speedy trial clock” is ticking

Image by palinchak via Depositphotos.com

Jack Smith urges Judge Aileen Cannon for a speedy trial in a classified documents case involving ex-President Trump: Jack Smith continues pushing Judge Cannon, reminding her that “the speedy trial clock” is ticking

Defamation lawsuit against Kari Lake advances while people compare her to Rudy Giuliani

Image by lev radin / Shutterstock.com

Kari Lake loses First Amendment right to accuse Maricopa County recorder; Arizona Republic ponders if she’s channeling Rudy Giuliani in her sleep : Defamation lawsuit against Kari Lake advances while people compare her to Rudy Giuliani

More Democrats are flipping in a crucial swing state than Republicans

Image by palinchak via Depositphotos.com

In Pennsylvania, a significant number of registered Democrats flipping is sending an unflattering signal to President Biden: More Democrats are flipping in a crucial swing state than Republicans