Whitman to California's Rescue?
Fortune magazine explores the question of whether Meg Whitman can save California:
Whitman's living room - for now her campaign office - is the starting block of what is certain to be one (no, make that two!) of the most dramatic reinvention efforts in a long while. One reinvention is California, which is more critical to the recovery of the U.S. economy than any other state. Twelve percent of Americans live here. Ten percent of Fortune 500 companies have headquarters here. California's GDP, at $1.8 trillion, makes it the eighth-largest economy in the world. In the past year more people have lost jobs here than in any other state. More homes have gone into foreclosure. More banks have failed. And as Whitman notes, businesses are moving out at an alarming rate, most often citing excessive regulation and intolerable taxes. For top earners, California's taxes are the highest in the U.S. And to what end? California's credit rating is the lowest in the nation.