Paramount Leaving California Could Mean Up to $21 Billion in Lost Annual Economic Output, Leaked Study Finds

A leaked economic impact study warns that if Paramount decides to move out of California, the consequences could be severe for the state and the entertainment industry. According to the study, the loss of jobs and economic output could run into the billions. The Los Angeles County Economic Development Corporation conducted the research, which was leaked by Politico on September 10.

The findings suggest that Paramount's relocation could lead to the permanent loss of between 28,990 and 57,980 full-time jobs across all industries in California and generate economic losses of between $10.6 billion and $21.2 billion annually. The study further notes that Paramount's post-merger production commitments could bring economic benefits to California, but the best-case scenario for relocation still poses economic costs of a similar magnitude.

The study emphasizes that the job losses include direct, indirect, and induced jobs, affecting all industries and not just motion picture and television production. A Paramount representative declined to comment on the study, and a judge will decide on imposing a $1.9 billion bond to cover the ticking fee and other financing costs during the delay at a hearing on September 24.