cjam - 8th largest was what I read in Time a couple of years ago. You have got to remember Aerospace and Defence industries are still huge there, along with everything else (entertainment, IT, Armed forces, Agriculture etc. etc.). Biggest state in the union population wise - 38 million.
As for whether or not he will be any good in the job - only time will tell. Gray Davis was only the second Governor in history to be recalled. It takes a staggering amount of fiscal mismangement to be removed by a recall in a relatively apothetic electorate like California!