According to the California Debt Clock at http://www.usdebtclock.org/state-debtclocks/state-of-california-debt-clock.html , our state has over $428 billion in state debt in 2018 – a figure that is growing everyday and represents about 15 percent of California’s Gross Domestic Product (GDP) and slightly more than $10,800 for every Californian. As bad as these figures seem, they are better than those printed in the earlier edition of the Calexit Blue Book, and much better than for the United States as a whole where the national debt is approaching $22 trillion, or 105% of GDP, and with each citizen’s share of the debt at $65,000.
During the transition from statehood to nationhood, California will agree to assume its share of the national debt on a per capita basis. This will reduce the national debt for the United States and increase California’s debt by a couple trillion dollars.
Compared to our fifth-largest-in-the-world economy, that means California’s national debt will be at or over 100% of our $2.75 trillion GDP, similar to the debt-to-GDP ratio in thirteen other countries in the world, including Italy, Portugal, Singapore, and the United States.
Honestly, these are not great numbers for California to deal with as a newly independent country. However, the point to stress here is that California’s current debt is just 15 percent of GDP is growing at a slower pace than the national debt of the United States. Therefore, this leads us to conclude that independence is a necessity: the longer we remain part of the United States, the larger our share of its national debt is. So it’s a race against a debt clock in a situation that becomes more expensive with every passing second.
Another point worthy of mention is the fact that California taking on a per capita share of the national debt is not something we have to do. Rather, it is something we can offer to do in the process of peaceful negotiation. Indeed, if California could be held responsible for its per capita share of the national debt, then by extension California could claim its per capita share of all U.S. assets worldwide, including the military assets we have helped fund since 1850.
That would offset some of the upfront costs necessary in the development of an active duty military to defend California and its allies, since a portion of American military assets – such as those currently issued to the California National and Air National Guard – could be turned over to California.