National Security Activity Provides $181 Billion Economic Impact in California

January 5, 2021

Findings from the California Research Bureau’s 2020 “California Statewide National Security Impacts” found national security agencies representing 5.7% of the state’s economy and generating 820,000 full-time jobs for its residents.

The report was generated using fiscal year 2019 public data from the U.S. Departments of Defense (DoD),
Homeland Security (DHS), and Veterans Affairs (VA).

“Nearly every industry in the state benefits from national security spending, with the largest impacts in manufacturing (particularly, aerospace, pharmaceuticals, electronics and other vehicles); professional services (particularly, scientific research and development); real estate; insurance; and healthcare,” according to the report.

According to the report, California is home to more security-related employment and spending compared to any other state. The state has 162,000 active duty service members, which is ahead of Virginia (129,000) and Texas (122,000). Furthermore its civilian employees (120,000) outweighs Virginia (109,000) and Texas (80,000) as well.

The report also found that the state’s national security activity provides $23.2 billion in tax revenue for federal, state and local governments.

Read the full report here

Photo by Seaman Jeffery Southerland

January 5, 2021

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