Currently, California is on track to become the world’s fourth largest economy. Moreover, the US state plans to gain a foothold in the top 5 high-income countries despite holding neither the largest oil nor gas reserves.
California's economy has proven relatively resilient through the COVID-19 pandemic, political crisis, or the current period of high inflation. The Golden State’s gross domestic product is poised to overtake Germany’s as the fourth-largest in the world after the US, China, and Japan. California has been steadily picking up steam: it had already leapfrogged Brazil (No. 7) and France (No.6) in 2015 and supplanted the UK (No.5) in 2017. Now the US state is projected to surpass Germany’s GDP by $72 billion.
According to Bloomberg, "whereas corporate California revenues and market capitalization rose 147% and 117% during the past three years, Germany mustered inferior gains of 41% and 34%." Taking into account that Europe's largest economy is barely growing this year, the gap between Germany's and California's nominal GDP will soon disappear. California outperforms the US and the rest of the world across many industries, including renewable energy, the fastest-growing business in the Golden State. The market capitalization of California’s top companies in this industry surged by 731% in the last three years.
