| |
U.S. Regional Income Growth Leaders Are in Hurricane-Affected and Fast-Growing Areas
15 Aug 07
This article provides details on the Bureau of Economic Analysis release regarding metropolitan income growth for 2006.
There were few surprises in the Bureau of Economic Analysis' recently published estimates of 2006 total personal income by metropolitan statistical area (MSA). At the very top of the rankings were metro areas where personal income took a major hit from Hurricane Katrina in 2005. Other metros near the top of the rankings included those with still-expanding construction sectors, proximity to persistently high-priced natural resources, and rapidly growing populations.New Orleans' total personal income fell 34.0% in 2005, but bounced back in 2006 with 48.5% growth. Despite the rebound, total personal income remained slightly below the level estimated in 2004. Lake Charles and Houma also bounced back last year to take the second and third spots, respectively. Three other fast-growing metros (Odessa, Texas; Midland, Texas; and Casper, Wyoming) are natural resource-driven economies whose products are enjoying sustained high prices. Odessa and Midland sit within one of Texas's largest oil-producing regions, while Casper is close to both oil and coal deposits. In each of those MSAs, more than 40% of net job growth in 2006 came in the construction and mining sector. Construction accounts for much of the job and income gains in the remaining metros as well. Despite a 2006 decline in housing starts for most of these MSAs, construction accounted for over 25% of the overall job growth in most of the areas listed below. Personal Income Growth Leaders in 2006 | | | | Total Income
2006
(Millions dollars) | Total Income
Growth
2005-06
(Percent) | Rank | Per Capita
Income Growth
2005-06
(Percent) | Rank | 1 | New Orleans, LA | 39,325 | 48.5 | 1 | 76.3 | 1 | 2 | Lake Charles, LA | 5,741 | 26.6 | 2 | 30.2 | 2 | 3 | Houma-Bayou Cane-Thibodaux, LA | 6,211 | 20.0 | 3 | 21.1 | 3 | 4 | Odessa, TX | 3,660 | 14.1 | 4 | 12.3 | 5 | 5 | Midland, TX | 5,633 | 13.5 | 5 | 11.0 | 7 | 6 | Lafayette, LA | 8,507 | 12.6 | 6 | 12.7 | 4 | 7 | St. George, UT | 3,021 | 12.3 | 7 | 5.3 | 128 | 8 | Casper, WY | 3,226 | 11.7 | 8 | 10.6 | 8 | 9 | Hattiesburg, MS | 3,594 | 10.8 | 9 | 8.5 | 13 | 10 | Provo-Orem, UT | 10,544 | 10.3 | 10 | 6.8 | 35 | 11 | Bend, OR | 4,996 | 10.2 | 11 | 4.5 | 229 | 12 | Naples-Marco Island, FL | 16,761 | 10.0 | 12 | 7.0 | 31 | 13 | Boise City-Nampa, ID | 19,486 | 9.9 | 13 | 5.6 | 91 | 14 | Coeur d'Alene, ID | 3,783 | 9.8 | 14 | 6.1 | 61 | 15 | Tulsa, OK | 33,724 | 9.8 | 15 | 8.6 | 12 | 16 | Mobile, AL | 11,236 | 9.7 | 16 | 8.9 | 9 | 17 | Austin-Round Rock, TX | 54,958 | 9.7 | 17 | 5.6 | 102 | 18 | Farmington, NM | 3,344 | 9.5 | 18 | 8.6 | 11 | 19 | Prescott, AZ | 5,336 | 9.4 | 19 | 4.7 | 196 | 20 | Houston-Sugar Land-Baytown, TX | 229,527 | 9.4 | 20 | 5.9 | 72 |
The two columns farthest to the right reveal a fundamental difference between some of the MSAs experiencing the highest total income growth: some of them have achieved that status via high growth in wages and other income, whereas a few have made the list through rapid population growth. Specifically, St. George, Bend, Austin-Round Rock, and Prescott rank in the top 20 for total personal income growth, but are not even in the top 100 in terms of per capita income growth. This means they must have experienced rapid population growth last year. Indeed, from 2005 to 2006, St. George, Utah was the fastest-growing metro in terms of population growth, and Bend, Oregon was second. Prescott (5th) and Austin-Round Rock (11th) also had rapidly growing populations. by Luke Tilley
|
|
|
