California Policy Research Initiative (CAPRI)

California Policy Research Initiative (CAPRI) is sponsored by Stanford Institute for Economic Policy Research (SIEPR). CAPRI supports Stanford scholars who ground their work in the California context, providing state and local officials with access to policy-relevant research from Stanford.

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As part of the Stanford Institute for Economic Policy Research (SIEPR), CAPRI supports Stanford scholars who ground their work in the California context. California is the world’s fifth-largest economy and a powerhouse of ideas shaping our future. Nurturing innovation requires adaptation, and institutions like SIEPR help policymakers understand problems and how to address them.

With technology changing how society operates, persistent economic inequality and climate change threatening our environment, sustainability will require all our efforts — including a close examination of how economic policies shape these issues.

Catalyzing research on California's economy We are working closely with policymakers on the design and development of applied research questions to collaboratively tackle the most pressing economic policy issues facing California.

Through talent exchanges, Stanford researchers can partner with state government agencies to create, analyze, and measure the effectiveness of economic policy and embed researchers within government to help civil servants learn from the latest research methods. ## Educating and Preparing We are preparing the state’s future leaders through research opportunities, internships, and classes for students across Stanford.

From hosting California’s leading policymakers to offering hands-on research opportunities, students directly engage with policymakers both on campus and in Sacramento to understand how economic policy is realized in action. > Data drives our research at SIEPR.

Working with state agencies and publicly available data, our researchers are actively working in the following areas California’s revenues are highly dependent on economic conditions. In just two years, California has vacillated from record surpluses to historic deficits.

Through relationships with state agencies like the Department of Finance and the California Department of Tax and Fee Administration, CAPRI is working alongside state researchers to analyze data and generate insights about California’s economy.

## Housing and Homelessness Between 2014 and 2022, California experienced a 51 percent increase in the number of people experiencing homelessness, growing from 114,000 to 172,000, while the rest of the United States saw an 11 percent decline. The number of homeless per capita was more than three times as high in California as the rest of the country.

As California continues to invest billions of dollars into addressing the homelessness crisis, our team of researchers are investigating the causes and consequences of homelessness specifically in Los Angeles County and are active members of the Homelessness Policy Research Institute. Innovation is core to California’s identity and economy.

As artificial intelligence rapidly transforms how we work, CAPRI has teamed up with the Stanford Institute for Human-Centered Artificial Intelligence (HAI) to engage with state legislative staff on AI fundamentals and co-present the California Joint Summit for Generative AI with the explicit goal of harnessing technology to improve government and service delivery.

Similarly, as California seeks to meet its aggressive climate change policy goals, CAPRI is actively working with Stanford’s Bill Lane Center for the American West to understand the economic impacts of decarbonization. ## Unemployment Insurance California leads the country with the highest unemployment insurance debt, owing more than $19 billion to the federal government and interest rates continue to rise.

The state’s tax base for UI has remained unchanged since 1982. The current regressive tax structure imposes higher costs on low-wage workers and small businesses, slows hiring, and undercuts California's push toward responsible budgeting. SIEPR researchers are using administrative data from the Employment Development Department to estimate the effect of increasing CA’s UI tax base.

> Improving economic policy starts in our own backyard. By better understanding our home state, we believe CAPRI opens doors for our scholars to better understand economic policy across the U.S. and globally. Whether comparing economic policy in California to Texas or exploring the state’s changing population, SIEPR will forever call California home and our researchers are eager to help shape the future of economic policy through CAPRI.

## Our featured work on California ### How AI is helping states cut through decades of red tape July 23, 2026 SIEPR Senior Fellow Daniel Ho and a Stanford team of researchers scanned 500 million words of state law to reveal the stunning growth of reporting requirements, and are now giving governments a tool to clean them up.

* Innovation and Technology * Regulation and Competition Publication ### The economics of the market for early childhood care and education in California * Taxes and Public Spending ### The child care crisis: SIEPR shines a light on solutions April 23, 2026 Sky-high child care costs are contributing to America’s affordability crisis. A recent SIEPR policy forum focused on policies for bringing down costs while ensuring quality care.

* Taxes and Public Spending Stanford Institute for Economic Policy Research (SIEPR) John A.

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