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America's Economic Engines: The Biggest Industry In Every State
Visual Capitalist ^ | 08/01/2025 | Jenna Ross

Posted on 08/01/2025 8:57:16 PM PDT by SeekAndFind

Ever wondered what fuels each state’s economy? In most cases, the biggest industry is either real estate or manufacturing.

This Markets in a Minute graphic, via Visual Capitalist's Jenna Ross, in partnership with Terzo, highlights the industry contributing the most to GDP in every state.

The Biggest Industry Ranking

Real estate powers the economy in over half of states. This is largely because the Bureau of Economic Analysis treats homeowners as landlords renting to themselves, and includes the rental value in GDP. If economists did not include this value, a jump in the homeownership rate would cause GDP to drop.

On top of this, the real estate industry includes rent paid by renters, property taxes, construction, remodeling, and brokers’ fees.

State/DistrictBiggest Industry
AlabamaManufacturing
AlaskaTransportation & Warehousing
ArizonaReal Estate
ArkansasManufacturing
CaliforniaReal Estate
ColoradoReal Estate
ConnecticutReal Estate
DelawareFinance & Insurance
District of ColumbiaGovernment
FloridaReal Estate
GeorgiaReal Estate
HawaiiReal Estate
IdahoReal Estate
IllinoisReal Estate
IndianaManufacturing
IowaManufacturing
KansasManufacturing
KentuckyManufacturing
LouisianaManufacturing
MaineReal Estate
MarylandReal Estate
MassachusettsProfessional & Technical Services
MichiganManufacturing
MinnesotaReal Estate
MississippiManufacturing
MissouriReal Estate
MontanaReal Estate
NebraskaFinance & Insurance
NevadaReal Estate
New HampshireReal Estate
New JerseyReal Estate
New MexicoReal Estate
New YorkFinance & Insurance
North CarolinaManufacturing
North DakotaMining, Oil & Gas
OhioManufacturing
OklahomaGovernment
OregonReal Estate
PennsylvaniaReal Estate
Rhode IslandReal Estate
South CarolinaReal Estate
South DakotaFinance & Insurance
TennesseeManufacturing
TexasReal Estate
UtahReal Estate
VermontReal Estate
VirginiaReal Estate
WashingtonInformation
West VirginiaMining, Oil & Gas
WisconsinManufacturing
WyomingMining, Oil & Gas

Source: U.S. Bureau of Economic Analysis. Data for the 2024 calendar year. Some industry names have been shortened including real estate and rental and leasing; mining, quarrying, and oil and gas extraction; federal civilian and state and local government; and professional, scientific, and technical services.

In second place, manufacturing is the biggest industry in 13 states. Its prominence is heavily concentrated in the Midwest and the South thanks to the long history of the sector in some states, large plots of available land, and government support.

Rare Economic Leaders

Outside of real estate and manufacturing, some industries are the top GDP driver in a much smaller number of states.

For instance, finance and insurance is the biggest industry in New York, Delaware, Nebraska, and South Dakota. Over half of publicly-traded U.S. companies incorporate in Delaware thanks to balanced and flexible corporate laws, a business-friendly environment, and a respected legal community. In South Dakota, financial services are drawn to the state’s business-friendly taxes and trust laws that can shield families from inheritance taxes indefinitely.

Mining and oil and gas creates the biggest economic output in three states. North Dakota is the third-largest crude oil producer in the country, while Wyoming and West Virginia are America’s top two coal producers.

The government is the biggest GDP driver in D.C. and Oklahoma. Lastly, professional and technical services (Massachusetts), information (Washington), and transportation and warehousing (Alaska) were the top industry in one state each.


TOPICS: Business/Economy; Society
KEYWORDS: economy; industry; states

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1 posted on 08/01/2025 8:57:16 PM PDT by SeekAndFind
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To: SeekAndFind

And California Real Estate dominates Democrat Party land use policy.


2 posted on 08/01/2025 9:31:01 PM PDT by Carry_Okie (The tree of liberty needs a rope.)
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To: SeekAndFind

The US is the largest landholder in the US. If they want to retire the debt, they should tokenize a portion of that real estate and offer dividends on the proceeds.


3 posted on 08/01/2025 9:36:25 PM PDT by HYPOCRACY (Wake up, smell the cat food in your bank account. )
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To: SeekAndFind

We live in WA. Wonder what an “Information” state encompasses.


4 posted on 08/01/2025 9:50:52 PM PDT by Veto! (Trump Is Superman)
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To: SeekAndFind
This is largely because the Bureau of Economic Analysis treats homeowners as landlords renting to themselves, and includes the rental value in GDP.

This might be one of the dumbest statistical measures I've ever come across.

The BEA may as well consider each person's spending to be a byproduct of merely living, and consider "Oxygen Processing" as the top industry in every state.

5 posted on 08/01/2025 10:00:30 PM PDT by Alberta's Child ("Although my eyes were open, they might just as well be closed.")
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To: Alberta's Child

>> This might be one of the dumbest statistical measures I’ve ever come across.

LOL! Glad to see I’m not the only one! Filed under “Pretty (but) Useless Commentary”.


6 posted on 08/02/2025 12:18:13 AM PDT by Nervous Tick (Hope, as a righteous product of properly aligned Faith, IS in fact a strategy.)
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To: Alberta's Child

Thank you for the explanation. Much appreciated.


7 posted on 08/02/2025 1:19:38 AM PDT by marktwain
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To: SeekAndFind

It used to be that the leading industry in each state also allowed the state run edacation cutriculum was tailored to that industry.


8 posted on 08/02/2025 2:33:52 AM PDT by Terry L Smith
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To: Alberta's Child

I was going to raise the rent on myself so I’d have more income.


9 posted on 08/02/2025 2:45:51 AM PDT by HartleyMBaldwin
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To: SeekAndFind

in MN it is probably manufacturing, more precisely medical device manufacturing.

Real estate, HA! Nice trick they pull to get that garbage info into the mainstream.


10 posted on 08/02/2025 4:23:04 AM PDT by jurroppi1 (The Left doesn't have ideas, it has cliches. H/T Flick Lives)
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To: SeekAndFind

The calculation of owner-occupying house stems from economics: all factors of production yield something to the owner:interest (capital), wage (labor), profit (entrepreneurship) and rent (property). If someone own a house then they rent it out, they will get money (rent). If they live in the house, the house provides service to the owner in the amount similar to the rent they would have received if they rent it out.


11 posted on 08/02/2025 5:44:57 AM PDT by paudio (MATH: 45<47)
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To: SeekAndFind

How pitiful can a state be?

Oklahoma is the only state where “Government” is the biggest industry, not including DC which is not a state and should never be.

I sat for a jury pool in the Federal District Court in Muskogee last year. The judge was a friendly sort of fellow and wanted to get to know the jury pool asking where they were from and what did they do etc. There were only three of us in the pool of about 60 that were independent businessmen, a couple of ranchers and the rest were either retired military, retired civil service of some sort or active civil service. Must have been at least 40 of them employed or retired from the government and another 10 married to someone who was government affiliated.

It was the sixth time in my life I sat for a jury pool and was excused in the first round. I am wondering what I’ve done wrong? At the end of this year I will be excused based on age if I want to be and I do.


12 posted on 08/02/2025 8:05:15 AM PDT by Sequoyah101
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