State auditor: California’s net worth is negative $127.2 billion

Not only does California, through decades of mismanagement and incompetence, have a negative net worth of $127.2 billion, if unfunded pension liabilities were included (as they should be), then its net worth would be several hundred billion less.

Public pensions are allowed to follow much laxer accounting rules than do private pensions, which allows them to pretend they are solvent.