1. California is home to some of the most influential technology and biotechnology companies in the world, the strong presence of the entertainment industry, plus two major shipping ports.
2. New York City is the financial and media capital of the USA.
Illinois collapsed because they have horrible financial mismanagement, primarily with the City of Chicago (take out Chicago and the state is in vastly better financial shape). The solution may involve a Chapter 9 filing for Cook County and a complete revamp of pensions for anyone working for Cook County government and the state of Illinois in the Chicago area.
California is already there. You might do a little more research there.