Business / Economy

California surpasses France as world's sixth-largest economy

Reuters

California is now the sixth-largest economy in the world, surpassing France, thanks to a robust state economy and a strong U.S. dollar.

California was the world’s eighth-largest economy in 2014, Irena Asmundson, chief economist of the California Department of Finance, said in a phone interview on Friday. “California did exceptionally well in 2015.”

France is the world’s seventh-largest economy with a gross domestic product of $2.42 trillion, and India is the eighth-largest with $2.09 trillion, according to the latest International Monetary Fund data.

California is home to diverse and strong regional economies, including Silicon Valley and Hollywood. Manufacturing and agriculture have performed well despite a severe drought, Asmundson said.

The most populous state in the United States also outpaced the rest of the country in job growth, California’s finance department said in its June bulletin this week. Gross state product was $2.46 trillion in 2015, with 4.1 percent of growth in real terms, it added.

U.S. gross domestic product grew by 2.4 percent in 2015. Growth slowed to 0.8 percent in the first quarter of 2016.

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