Despite the top income tax rate being the highest in the country, if you’re already rich, you can just own US Treasuries and earn around 5% for the next 30 years. US treasuries are not taxed at the state or municipal level anywhere, putting California on par with Texas, Florida and all other 0% income tax states, and all states. On $5,000,000 thats $250,000 a year, on $10,000,000 thats $500,000 a year.
Ah but you need the house! Property taxes…. California property taxes are lower than Texas and Florida.
so you are left with all the benefits of the weather and varied biome and varied geography that everyone wants to like
as the macroeconomic environment changes so do people’s behavior
there’s more to write about middle class, which can only be compared to other high cost of living areas, but thats for a different post.