Wisconsin’s economy saw some of the slowest economic growth in the country as output from the state’s agriculture, construction, manufacturing and finance sectors shrank relative to the second quarter.
Overall, real GDP in Wisconsin grew 0.6% on an annualized basis from the second to third quarter. Only four states – Iowa, Indiana, South Dakota and Mississippi – saw worse economic growth in the quarter.
Alaska, up 8.7%, Texas, up 8.2%, and Oklahoma, up 5.5%, led the way nationally in the third quarter.
The third quarter did mark a rebound of sorts for Wisconsin's economy, which suffered a 1.9% decline in real GDP during the second quarter. However, the second quarter for Wisconsin was better than the third relative to the rest of the country, coming in at 37th.
The state was hampered by the performance of some of its major industries. Manufacturing, which accounts for more than 18% of the state’s economy, contributed more than half a point of negative growth in the quarter. Durable goods manufacturing contributed 0.2 percentage points of decline in the quarter and nondurable goods contributed 0.29 percentage points of decline.
The manufacturing decline wasn’t the biggest contributor, either. Agriculture, forestry, fishing and hunting contributed 0.59 percentage points of decline and construction contributed 0.65 points of decline. Finance and insurance also contributed 0.24 percentage points of decline.
Bright spots in the state’s economy included information, adding 0.64 points to growth, retail trade, adding 0.41 points, wholesale trade, adding 0.24 points, and transportation and warehousing, which added 0.33 points.
Professional and scientific services contributed 0.47 points and health care and social assistance 0.38 points.
All told, the state’s real GDP in the third quarter was $311.4 billion, measured in 2012 dollars, a figure that is about $1 billion behind the first quarter but well ahead of pre-pandemic levels.
Compared to the fourth quarter of 2019, Wisconsin’s growth ranks 36th in the country with a compound annual growth rate of 0.7%.
Read the latest issue of STUFF, a BizTimes Media publication highlighting southeastern Wisconsin careers in manufacturing, construction and the trades. Learn more about STUFF here: