Wisconsin’s real gross domestic product increased 1.7% from 2021 to 2022, an increase that ranks 26th
in the country and is slightly slower than the Great Lakes states overall, according to data from the U.S. Bureau of Economic Analysis.
The state continues to have the 21st
largest economy in the country.
Idaho, Tennessee and Florida had the fastest growing economies this past year, up 4.9%, 4.3% and 4% respectively. The slowest growing were Iowa, down 1.5%, Louisiana, down 1.8%, and Alaska, down 1.8%.
The Rocky Mountain area had the strongest growth on a regional basis at 3% followed by the southwest at 2.8%.
The Great Lakes region, which includes Illinois, Indiana, Michigan, Ohio and Wisconsin, grew 1.9%.
For the year, Wisconsin’s biggest driver of growth was the information sector, which added 0.69 percentage points to growth, and finance and insurance, which added 0.68 points as well. Agriculture, forestry, fishing and hunting contributed 0.34 points, professional, scientific and technical services added 0.31 points and accommodation and food services added 0.25.
On the other hand, construction was a 0.4 point drag on growth, nondurable goods manufacturing contributed a 0.35 point decrease and retail trade pulled the topline down 0.22 points.
Wisconsin did end the year on a somewhat positive note with real GDP growing 1.1% from the third to the fourth quarter on an annualized basis, the strongest quarter of growth for the year, according to the most recent data. The state saw 0.3% growth in the first quarter, a 1.9% drop in the second and 0.6% growth in the third.
While the fourth quarter was the state’s strongest quarter of the year, it was not particularly strong compared to the rest of the country, ranking 37th
nationally. Texas, up 7%, Oregon, up 5.6%, and Nevada, up 5.3%, were the fastest growing.
Iowa, down 1.2%, Nebraska, down 3.4%, and South Dakota, down 4.3%, were the worst performing in the fourth quarter.
Wisconsin’s economy is among the slower growing over the past three years. From the fourth quarter of 2019 to the most recent quarter, the state’s real GDP has seen a compound annual growth rate of 0.7%, which ranks 37th
nationally. The Great Lakes region as a whole has seen 1.2% growth.
Idaho, up 4.2%, Tennessee, up 3.8% and Utah and Florida, both up 3.6% have the fastest growth over that period.
Wyoming, down 1.7%, Alaska, down 2%, and Louisiana, down 2.6%, are the slowest growing.