Drought Unlikely to Harm California’s Economy in Short Term, Analyst Says

“While the drought is affecting many Californians and communities in different ways, we currently do not expect the drought to have a significant effect on statewide economic activity or state government revenues,” Tuesday’s report by the Legislative Analyst’s Office read. “That being said, we acknowledge the drought as a risk factor for the state’s economy, especially if its effects worsen or are prolonged.”