- After more than doubling from 2007 to 2010, annual oil production in the Peace Garden State more than doubled again in the two-year period from 2010 to 2012 (from 113 million to 243 million barrels), and the state was producing more than 10% of all US crude oil by 2012. North Dakota was producing so much shale oil in the Bakken, that it surpassed both Alaska and California to become the nation’s second-largest oil-producing state in 2012, behind only Texas. Also by 2012, the energy-driven stimulus to the state’s economy moved North Dakota to the No. 2 spot in the country for per-capita real GDP at $64,150 behind only Alaska at $70,437, and 33% above the national average of $48,264.
- In 2013, North Dakota’s real GDP per capita fell by 2%, and its ranking fell to No. 4 among US states for real GDP per capita at $62,750. But last year, North Dakota led the country with the largest increase in real state GDP (6.3%), and the state’s real GDP per capita rebounded to $65,225 setting a new state record, and moved the Peace Garden State back up to the No. 2 ranking among the country’s states for per-capita output, just behind No.1 Alaska at $66,160.
Oil Still Tops ND Economy
The Dickinson Press is reporting:
Oil remained king in North Dakota as the largest economic sector and the engine that powered the state’s impressive growth last year despite a drop in petroleum prices.
The mining sector, dominated by oil and gas extraction, contributed $9 billion toward the state’s $55 billion economy last year, as measured by the Bureau of Economic Analysis’ gauge of the state’s gross domestic product.
North Dakota’s economy grew 8 percent from 2013 to 2014 — 6.3 percent when adjusted for inflation — topping the state growth rate for the sixth year in a row. That was a bit cooler than the 9.7 percent growth rate for 2013.Data at Bureau of Economic Analysis.
Screenshot (the table was too large to capture in one screenshot, but the important part of the table was captured):
North Dakota, #1; Texas, #2; Wyoming, #4 -- Which State Was #3 For GDP Growth In 2014?
This is quite remarkable. I grew up thinking this was a poor Appalachian coal state. But it was ranked #3 behind North Dakota and Texas in GDP growth in 2014. Some data points:
- the net corporate income tax rate is 8.5%, scheduled for reduction to 6.5% by 2014, while business costs are 13% below the national average
- the state is a global chemical hub
- the state has one of the nation's highest concentrations of biotech industries
- a national energy hub, leading the nation in net interstate electricity exports and underground coal mine production
- a growing renewable energy portfolio
- the largest coal producer east of the Mississippi River
- home to several hydroelectric facilities
- major aerospace employers are located in the state
The state is a global hub for chemicals, a national hub for biotech industries and a leader in energy, while having a diverse economy in aerospace, automotive, healthcare and education, metals and steels, media and telecommunications, manufacturing, hospitality, biometrics, forestry, and tourism.
West Virginia's economy accelerated in 2014 with a growth rate of 5.1%, ranking third among the fastest growing states in the United States alongside Wyoming and just behind North Dakota and Texas.