May 11, 2017

South Dakota Outpaced National Rate of GDP Growth in 2016

The economy grew faster in South Dakota than in the United States as a whole, according to a recent release from the US Bureau of Economic Analysis. Real gross domestic product (GDP) increased by 1.7 percent in the Rushmore State compared to 1.5 percent across the nation. This significant growth placed South Dakota 18th among the 50 states.

Nationally, the fastest growing industries were information services at 6.4 percent; professional, scientific and technical services at 3.3 percent; and health care and social assistance at 3.0 percent growth.

The largest contributors to South Dakota’s GDP growth in 2016 were agriculture, health and social services, and finance. Agriculture contributed 0.5 percent, health and social services contributed 0.1 percent and finance contributed 0.1 percent. Declines occurred in manufacturing of both durable and non-durable goods at -0.2 percent and -0.1 percent, respectively.  

With 1.7 percent growth, South Dakota was the fastest growing state in the region. North Dakota and Wyoming experienced among the largest declines in GDP across the nation at 6.5 and 3.6 percent, respectively. A decline in the mining industry contributed to the substantial decline in both states. Meanwhile, Minnesota, Nebraska and Iowa fared well at 1.3 percent, 1.2 percent and 0.7 percent growth respectively. 

Related items

  • Agriculture’s Economic Impact Discussed at Agricultural Summit in Aberdeen

    Agriculture is one of the largest and most important industries in South Dakota, contributing $25.6 billion toward the economy and employing 115,000 people, according to…
  • Slump in Agriculture Carries into First Quarter GDP Growth

    Real gross domestic product (GDP) in South Dakota declined by 3.8 percent in the first quarter of 2017, according to recently released data by the…
  • SD Housing Most Affordable Regionally, but Housing Cost Burdens Still Abound

    Individuals earning a minimum wage in South Dakota must work 51 hours per week in order to afford a one-bedroom apartment in South Dakota, according…
  • Real Personal Income Growth in Sioux Falls in 2015 Near Top in Nation

    Real personal income in Sioux Falls grew faster than in all but three other metropolitan areas in the country in 2015, according to data released…
  • Agriculture Continues to Lag in Fourth Quarter GDP Growth

    The South Dakota economy grew by 1.1 percent ranking the state 38th in the nation for real gross domestic product (GDP) growth, according to a…