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flag California’s economy grew to $4.215 trillion in Q3 2025, becoming the world’s fourth-largest, yet many residents face financial strain despite strong GDP figures.

flag California’s economy grew to $4.215 trillion in Q3 2025, making it the world’s fourth-largest by GDP, surpassing Japan and narrowly edging out India, according to U.S. Bureau of Economic Analysis and IMF data. flag The state’s 4.5% annualized growth rate was its fastest since 2023, though its two-year average of 2.9% ranked 15th among U.S. states. flag Despite its global standing, California ranked 25th in domestic economic output, and many residents report strained finances and low consumer confidence, highlighting a disconnect between national metrics and everyday economic experiences.

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