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725K+ Californians left since 2020.

The “Big Leave” from California: What’s Causing the Exodus?

Traffic backs up at the San Francisco-Oakland Bay Bridge toll plaza on August 24, 2022 in Oakland, California. California is set to implement a plan to prohibit the sale of new gasoline-powered cars in the state by 2035 in an effort to fight climate change by transitioning to electric vehicles. (Photo by Justin Sullivan/Getty Images)

Are you one of the many people leaving California? You’re not alone. According to United Van Lines, California was a “top outbound” region in 2020, and the trend is only getting worse. But what’s causing this mass exodus?

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Economic and Quality-of-Life Issues

Reports suggest that both economic and quality-of-life issues are driving people out of California. High housing costs, energy bills, taxes, and the overall cost of living are making it difficult for residents to make ends meet. Meanwhile, rising crime, urban blight, traffic, and wildfires are eroding the state’s quality of life.

Businesses are also leaving due to high taxes, excessive regulations, and an anti-business atmosphere. As residents and businesses leave, it becomes harder for legislators to address long-term structural issues like unfunded pensions and necessary investments in infrastructure.

But there is hope. Public policy changes could stop the “big leave.” Zoning regulations and the California Environmental Quality Act (CEQA) could be modified to lower housing costs. Energy and global warming laws could be changed to reduce energy poverty. Tax reform could increase incentives to work and save money, while minimizing the negative effects of the state’s unpredictable budget.

Many California residents are also willing to support long-term solutions to the homelessness crisis, focusing on tackling root causes rather than just housing individuals.

“Governor Newsom’s proposals would streamline projects to unleash construction across the state, accelerating the building of clean infrastructure so California can reach its world-leading climate goals while creating hundreds of thousands of jobs,” the statement read, posted on his Governor’s Office website.

However, some residents argue that California is already heavily in debt and that climate change is not the state’s top priority. They believe that careless and misguided government decisions are causing the “big leave,” and that necessary modifications could reverse these detrimental tendencies.

The Numbers

Between April 1st, 2020, and July 1st, 2022, around 82,235 people moved from California to Texas, according to reports by USA FACTS. In 2020 alone, California lost a net total of 37,800 inhabitants to Arizona.

Additionally, renting a U-Haul truck one-way from California to Texas costs more than twice as much as renting from the same company and going from Texas to California. The Texas real estate market has also been severely impacted due to this migration.

But it’s not all bad news. California consistently gains net residents from states like New York, Illinois, New Jersey, and Massachusetts.

The Pandemic and Remote Work

The pandemic offered fresh motivations and opportunities for relocating, and the growing trend of remote work has allowed many Americans to relocate without sacrificing their careers. However, in California, exits now significantly outnumber arrivals.

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