They predict California won't see a double-dip recession. But economist Jeff Michael says Sacramento’s recovery will lag behind the rest of the state – and he blames the lack of a state budget.
Michael: “It’s the business of Sacramento. It’s the largest employer by far. And we’re seeing people just frozen with suspense and wondering if there’ll ever be a resolution. We have state workers who have no idea what their next paycheck will say, and that’s not conducive to buying cars.”
Michael says the capital region is also waiting for the housing market to bounce back – as is the Central Valley.
The forecast says other parts of California have healthier economies – especially Orange County, San Diego and San Jose.
