Iowa GDP grows in Q3, ending three straight quarters of decline
Iowa’s gross domestic product grew 0.3% in the third quarter, behind strong performances in trade, arts and entertainment, and health care. The positive number followed three consecutive quarters of decline.
The state’s modest gain trailed most of its neighboring states, which saw larger growth in their GDP, according to the report released Dec. 23 by the U.S. Bureau of Economic Analysis.
Only South Dakota registered smaller GDP numbers, and saw its GDP fall 0.5%. Wisconsin (0.6%), Minnesota (2.4%), Illinois (2.2%), Missouri (1.7%) and Nebraska (1.7%) all saw higher GDP growth than Iowa. The national GDP grew by 3.2% in the third quarter.
The GDP measures the monetary value of finished goods and services in each state and the country. In quarterly reports, the GDP is expressed in annualized amounts.
In Iowa, the monetary value of Iowa’s GDP in the third quarter was nearly $177.2 billion.
The state’s biggest contributors to its growth were wholesale trade, which grew 0.47%, retail trade, which rose 0.37%, and information, which increased 0.45% The arts, entertainment and recreation sector was up 0.24%, and health care increased 0.25%
The sectors that saw the biggest declines in Iowa’s GDP were construction at 0.92% and agriculture, which declined 0.43% in the third quarter.
Alaska saw the largest gain in GDP at 8.7%. Mississippi had the lowest performance, with its GDP falling 0.7%.
According to the report, strong performance in mining was a leading contributor to increases in GDP in Alaska, Texas, Oklahoma, Wyoming, North Dakota and New Mexico, the six states with the largest increases in GDP in the third quarter.