This story is part of our November 2024 issue. To subscribe, click here.

Many things define California, and one of them is “the Golden State.” There are many reminders of why. Our official state colors are blue and gold; our official flower is the golden poppy; and, of course, there’s the Gold Rush, an event we honor in so many ways, including in the names of two very popular sports teams from the Bay Area. 

Growing up in Nevada City, in the heart of Gold Country, I was reminded every day of how the Gold Rush shaped our state. Our population boomed — gold became the first big engine driving our economy. I often think about the people who rushed to California, some of whom walked the same streets I grew up on. It gets cold on winter nights in the mountains. I can only imagine what it had to be like sitting under a tree, dripping wet in a winter storm, panning for a few gold nuggets. 

I am the daughter of a bit more modern-day miner — my dad worked in many of the mines in the Mother Lode and was the foreman of a big mining operation in the Philippine Islands before I was born. I know it’s hard work. Some stories he shared with me were grueling.    

The Rushers were driven by a goal — to get rich! It was their fierce, independent spirit and grit that kept them going. Few got rich, it turns out — most ended up with less than they started with — and many lost their lives. When gold didn’t pan out, they had to rely on that same independence and grit to find the next thing to keep them going. 

California has survived many changes over the last 150 years, including the political makeup of the elected officials who set the rules for how we live and how business works. Thirty-five years ago, when I started Comstock’s, it seemed to me that officials were more willing to give business the independence it needed to take risks and make common-sense decisions that fueled our economic growth. In the political jargon of today, the Golden State was considered “red,” governed by people who did their best to not get in the way of business. Today, political pundits put California in the “blue” category that believes in increasingly taxing and regulating business to meet a wide variety of purposes and causes. 

I’ve always wondered when, why and how California made a shift like that, and whether business has sacrificed some of its grit as a result. I set out in quest of the answer.

Political experts I’ve asked tell me the shift began in the 1990s, when manufacturing began to leave the state and its more conservative-minded workforce left with it. In 1992, Bill Clinton became the first Democrat in 30 years to win the California presidential primary, as voters became younger and more independent-minded, unwilling to align with any political party.  

Most experts agree Gov. Pete Wilson alienated many so-called red voters with the divisive ballot proposition 187, which restricted undocumented immigrants from access to the state’s non-emergency public services, including public education and health care.

Republicans were already losing ground in voter registration, and that ballot measure pushed more voters away. More changes in the economy accelerated the trend. The tech industry replaced aerospace and military spending, bringing with them younger and even more independent, decline-to-state voters. Today, blue politics enjoys a supermajority in the state legislature that makes the rules for business. As a result, California has a reputation as an over-regulated place to do business. 

The business community scored a political victory in November 2003 by strongly supporting Arnold Schwarzenegger, who my political experts tell me had more moderate views than most candidates who run for office on the red side of the ledger. They also point out that he won the governorship in a special election, but likely would not have survived the extreme partisan combat of a primary.   

One expert contended that “Republicans have not fielded a competitive candidate for statewide office in well over a decade.” Instead, most candidates on the red side of the ledger have been tagged as too conservative and can’t draw enough votes to win. 

Those of us in business know that the first thing you need to succeed is the very best product that customers want to buy! Those looking for more influence from the red side of the political ledger should think about that. The supermajority on the blue side needs to be reminded that they don’t have a lock on innovative ideas. We’ve seen that one-sided decisions produce a repressive business climate while many of the other problems in our communities are lacking common sense solutions.           

More balance and sharing ideas across the “Red vs. Blue” divide, could restore a business climate and more golden opportunities for us all. 

What do you think?

Winnie Comstock-Carlson
President and Publisher

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