California is one of only two states in the country where the supply of prescription opioids, on net, declined between 1999 and 2015, which in turn had a slight positive effect on the state’s economy. Over this period, the volume of prescription opioids per capita in California declined 8 percent, or about 0.5 percent annually. This slight decline in opioid use in California was associated with a 0.1 percentage point increase in the state’s labor force participation rate of prime-age workers, raising annual real gross domestic product (GDP) growth by less than 0.1 percentage point.

The slight decline in prescription opioids between 1999 and 2015 only occurred because opioids were abundant in California at the beginning of the time frame. In 1999, California had the second highest per capita supply of prescription opioids in the country. From 1999 to 2010, the volume of prescription opioids in the state only grew slightly. After 2010, most other states, the supply of prescription opioids began to decline substantially in California in response to several efforts to restrict access to those drugs.

Labor Force Participation

Table CA-1 contains the increase in the prime-age labor force participation rate due to the decline in opioids between 1999 and 2015, and the resulting number of additional workers in the labor force as of 2015.

Table CA-1: Impact of Opioids on Prime-Age Labor Force Participation, 1999-2015

Gender	Prime-Age Labor Force Participation Rate, 1999-2015 (in percentage points)	Workers, 2015 (in thousands)
Total	0.1	16.9
Men	0.1	7.3
Women	0.1	9.6

The small decline in opioid prescriptions from 1999 to 2015 led the labor force participation rate for both prime-age men and women to rise by 0.1 percentage point. For perspective, opioids decreased nationwide labor force participation rates of prime-age men and women by 1.4 percentage points and 1.8 percentage points, respectively.

The rise in the prime-age male labor force participation rate in California means that in 2015 7,300 additional men were in the labor force due to the small decline in opioids. The reduction in opioids resulted in a slightly larger gain in female workers. In 2015, the decline in opioids added 9,600 women to California’s labor force. Together, the decline in per capita prescription opioids from 1999 to 2015 caused the total prime-age labor force participation rate in California to increase by 0.1 percentage point. That translates to a gain of 16,900 workers as of 2015.

Work Hours

From 1999 to 2015, the marginal decline in opioid dependency and increase in prime-age labor force participation cumulatively added 220 million work hours to California’s economy. Table CA-2 contains the cumulative gain in work hours associated with California’s increase in labor force participation.

Table CA-2: Impact of Opioids on Work Hours, 1999-2015

Gender	Work Hours, Cumulative 1999-2015 (in millions)
Total	220
Men	97
Women	123

As the number of additional individuals in the labor force due to the decline in opioids grew, California’s economy gained an increasing number of work hours. Between 1999 and 2015, California cumulatively gained a total of 220 million work hours. Since the decline in opioid dependency led slightly more women into the labor force than men, the majority—56 percent—of the additional work hours was attributed to California’s rise in female labor force participation. Specifically, the state’s economy gained 123 million work hours due to additional female workers, and gained 97 million work hours due to additional male workers.

Real Economic Growth

The hundreds of millions of additional work hours marginally increased economic growth in California. Table CA-3 contains the cumulative increase in real economic output due to the decline in opioids and the associated rise in the annual real GDP growth rate.

Table CA-3: Impact of Opioids on Real Economic Growth, 1999-2015 (in 2009 dollars)

Gender	Real Output, Cumulative 1999-2015 (billions)	Annual Real GDP Growth Rate, 1999-2015 (in percentage points)
Total	$12.9	0.0
Men	$5.7	0.0
Women	$7.2	0.0

From 1999 to 2015, the slight rise in California’s labor force participation due to the decline in opioids was a marginal benefit to the state’s economy. From 1999 to 2015, California’s economy cumulatively gained $12.9 billion in real economic output, which translates to the state’s annual real GDP growth rate increasing by less than 0.1 percentage point.

Since more women entered the labor force due to the decline in opioids than men, the increase in female labor force participation resulted in a slightly larger portion of the economic gain. The increase in female labor translated to a cumulative addition of $7.2 billion in real output between 1999 and 2015, raising California’s real GDP growth rate by less than 0.1 percentage point. The increase in male workers added to the economy $5.7 billion, which also raised the state’s real GDP growth rate by less than 0.1 percentage point.