Personal income grew by just 0.4 percent in South Dakota during the second quarter of 2017, according to a recent release from the Bureau of Economic Analysis. South Dakota lagged behind the national average of 0.7 percent, placing the Rushmore State at No. 44 in the nation.
As in the first quarter of 2017, a contraction in the farming industry contributed to slow personal income growth in the second quarter. Personal income in the farming industry declined by 0.25 percent in the second quarter of 2017—an improvement from the decline of 0.5 percent in Q1 2017. While the construction industry contributed to growth in the first quarter, the industry declined by 0.07 percent in the second quarter. Limited personal income gains in the second quarter were driven by finance and insurance at 0.12 percent growth and healthcare and social assistance at 0.9 percent growth.
Regionally, South Dakota outperformed Minnesota, Iowa, and Nebraska. North Dakota experienced the greatest growth in personal income in the region at 0.7 percent, while Iowa and Nebraska tied for last with a mere 0.1 percent rate of growth. Second quarter personal income growth for the region can be viewed in the table below: