State and regional GDP data for 2014 were released by the Bureau of Economic Analysis this morning. Real GDP growth from 2013 to 2014 was 0.8% for Arkansas, compared to 2.2% nationally. Arkansas ranked 38th among the 50 states in overall growth.
The BEA News Release noted that professional, scientific, and technical services was the largest contributor to U.S. real GDP, and that nondurable goods manufacturing and real estate and rental and leasing were also strong growth components. In Arkansas, professional services and nondurable goods manufacturing contributed positively to growth, but not by as much as the nationwide figures. On the other hand, mining was a strong component of Arkansas’ growth, as was management of companies and enterprises. Week sectors of the Arkansas economy included utilities, construction, real estate, and agriculture, etc.
Although the data were not subject to major definitional changes, revisions to underlying source data turned out to be substantial for Arkansas. Growth rates over the past decade were generally revised downward, with the exceptions being 2007 and 2011. The magnitude of revisions to previous years’ growth rates serves as a reminder that the new data for 2014 are considered “advance” estimates and will be subject to revision next year.
Since the trough of the recession in 2009, real GDP in Arkansas experienced cumulative growth of 9.6%, compared to 10.1% for the U.S. As shown in the following figure, growth in Arkansas was above the national average in 2010 and 2011, but has subsequently lagged behind.