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Red States Leading U.S. Economic Growth, Commerce Department Report Finds
South Dakota, Texas, and Utah are leading the U.S. in economic growth, according to a new report from the Department of Commerce.
By Ashe Schow o Daily Wire o March 29, 2021 o
The three top states are all in the hands of Republicans, with Republican governors, Republican state senates, and Republican state assemblies, The Center Square reported. Of the remaining seven states in the top 10 for economic growth, five were also Republican strongholds. From the Center Square:
Texas Republican Governor Greg Abbott speaks during a campaign rally by US President Donald Trump at the Toyota Center in Houston,
“On March 26, the New York Federal Reserve ‘GDP Nowcast’ model, which estimates real-time economic growth, said that while the U.S. economy grew at 6.1% in the first quarter of 2021, it will only grow at 0.7% in the second quarter,” the Center Square reported. “Fed analysts attribute the ‘negative surprises from personal consumption expenditures, manufacturers’ shipments of durable goods, and housing data’ as contributing factors for the forecasted decrease. Their forecast for the entire year is roughly 6% growth or higher.”
The report is based on 2020 fourth quarter gross domestic product (GDP) data and February 2021 unemployment rates.
Real GDP increased in all 50 states and the District of Columbia in the fourth quarter of 2020. Real GDP for the U.S. as a whole increased at an annual rate of 4.3%. The percent change in real GDP in the fourth quarter ranged from 9.9% in South Dakota to 1.2% in the District of Columbia.
The top three states in quarter-over-quarter growth were South Dakota (9.9%), Texas (7.5%), and Utah (7.1%). All three have Republican trifecta governments, with Republicans controlling the governor’s offices and both chambers of state legislatures.
The two Democrat-held states in the top 10 were Connecticut with 7% growth and Delaware with 5.8% growth. The remaining five Red states in the top 10 are Tennessee with 6.7% growth, Iowa and Nebraska with 6.3% growth each, Alaska with 5.8% growth and Missouri with 5.6% growth.
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