While most state’s economic growth slowed last year, Colorado’s growth of 2.9 percent remained comparatively strong, ranking fourth in the nation.
North Dakota ranked first with 7.9 percent growth, Wyoming second with 4.4 percent and South Dakota third with 3.6 percent.
Real GDP growth slowed in 38 states, with downturns in construction, manufacturing, and finance and insurance restraining growth in many states. Growth in real U.S. GDP by state slowed from 2.0 percent in 2007 to 0.7 percent in 2008.
Real economic growth slowed in all eight BEA regions. The Southwest region experienced the largest deceleration, with real GDP growth slowing from 3.6 percent in 2007 to 1.7 percent in 2008. A decline in nondurable goods manufacturing slowed growth in the Southwest.
The Southeast region slowed from little growth in 2007 to no growth in 2008. Real GDP in the Great Lakes region, which was the slowest growing region in 2007, contracted in 2008. Declines in construction, manufacturing, and finance and insurance caused the slowdown in the Southeast and the contraction in the Great Lakes.
Twelve states experienced declines in real GDP in 2008. Alaska had the largest decline in real GDP (-2.0 percent), caused mainly by a decline in petroleum extraction. In Delaware, the contraction was due to a significant decline in finance and insurance.
Michigan, Ohio, and Indiana contracted with declines in durable goods manufacturing. In Rhode Island, Georgia, and Connecticut, the contraction was mainly due to declines in manufacturing and construction, with other industries such as finance and insurance also contributing to the decline.