GDP Numbers Confirm Wisconsin’s Lagging Growth

Monday, June 16, 2014 at 7:18 PM by

Wisconsin’s economic growth has lagged behind that of most other states, according to the Bureau of Economic Analysis. The new report issued last week provides inflation-adjusted statistics on gross domestic product (GDP) in every state for each of the years from 2010 through 2013.

The following graph illustrates that Wisconsin’s GDP growth of 4.5% over the last three years has been well below the national average of 6.1%.  Wisconsin has also lagged behind the other states in upper Midwest, except for Illinois. 

GDP-growth2

The second bar graph compares the annual growth since 2010 in Minnesota, Wisconsin, and for the U.S. as a whole.  Some conservatives have argued that Wisconsin’s economy would grow more rapidly because our state has been cutting taxes and practicing austerity during a period when Minnesota raised taxes. The graph illustrates that Minnesota’s growth has been stronger for each of the last three years.GDP-growth4

If  Wisconsin’s economy had grown at the same rate as the national average over the three years since 2010, our state GDP would have been about $4 billion higher at the end of 2013.   If we had kept up with the pace of economic growth in Minnesota over the last three years, Wisconsin’s GDP would been $7.6 billion (3.0%) larger than where it was at the close of 2013.   

Jon Peacock

One Response to “GDP Numbers Confirm Wisconsin’s Lagging Growth”

  1. […] its tax and budget policy choices would result in stronger economic growth. As our friends at the Wisconsin Budget Project point […]