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.