Could California Weather a Recession?

John Chiang, state treasurer of California, is a Democrat running to succeed Gov. Jerry Brown. California Today is conducting occasional Q&A sessions with candidates for office, and today is Chiang’s day at the plate. The interview was edited and condensed for clarity.

Posted 4:36 p.m. Apr 12, 2018 — Updated 4:36 p.m. Apr 12, 2018

ADAM NAGOURNEY

and

JOSE A. DEL REAL, New York Times

Q: What do you think of how Gov. Brown has done?

A: Jerry and I are aligned on making sure our fiscal house is in order. We don’t want to be a poor state. We don’t want to be broke — cutting health care, giving pink slips.

Q: How big a problem is homelessness in this state?

A: There are tens of thousands of homeless Californians. Do we take care of the vulnerable who live in the wealthiest state? To leave people in harm’s way is not acceptable. That is why I have tried to shore up the state’s financial position so we have the resources to take care of California’s homeless. The state has to partner with local governments — which I would hope to do as governor.

Q: What do you see as the biggest problems facing California?

A: Education is my top priority. You can’t have the disparate outcomes that you have. This needs to be a state where every child — regardless of background, heritage — gets access to a world-class education.

Q: Are you worried the state is heading into a recession?

A: People are very concerned about where we are in the economic cycle. They are very concerned about President Trump. If you look at the historical pattern, you know at some point we are going to face a recession.

Q: Is California ready for one?

A: The governor has been very prudent on the rainy day fund. But we are not fully prepared for a recession. We’re not fully out of debt. One of the things that I’ve been pushing is, let’s make sure that we start paying everything in full. Look at how some of the other candidates and their cities have done, and their credit ratings.

Suggest A Correction