USA States Ranking
The economic landscape of the United States is a diverse mosaic shaped by varying policies, industries, and demographics across its 50 states. Key economic indicators such as sales tax rates, income tax rates, Gross Domestic Product (GDP), GDP per capita, average salary, and median home prices provide valuable insights into the economic health and living standards of each state. The table below summarizes a comprehensive overview of the economic conditions across U.S. states. The data changes by year-to-year, and the depicted data below are from 2023.
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State
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Sales Tax Rate
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Income Tax Rate (Low)
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Income Tax Rate (High)
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Population
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GDP
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GDP PER Capita
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Average Salary
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Median Home Price
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State Sales Tax Rates
Sales tax is a critical source of revenue for state governments. The rates can vary significantly from state to state, influencing the overall cost of living and business operations. As of 2024, the states with the highest sales tax rates include:
- California: 7.25%
- Rhode Island: 7%
- Mississippi: 7%
- Tennessee: 7%
- Indiana: 7%
On the other end of the spectrum, some states like Delaware, Montana, New Hampshire, and Oregon do not impose a state-level sales tax.
State Income Tax Rates
Income tax policies vary widely, reflecting the diverse economic philosophies and needs of each state. Some states have a progressive tax system with higher rates for higher income brackets, while others have a flat rate. Notably, there are states with no state income tax at all, including:
- Alaska
- Florida
- Nevada
- South Dakota
- Texas
- Washington
- Wyoming
Among the states with income taxes, California and New York have some of the highest rates, with California's top marginal rate reaching 13.3%.
State Gross Domestic Product (GDP)
GDP is a primary indicator of economic performance. The states with the largest GDPs reflect their substantial economic output, often driven by diverse and robust industries. As of the latest data:
- California: $3.4 trillion. Comparing with national GDP, California alone accounts 5th largest GDP worldwide after USA, China, Japan and Germany.
- Texas: $2.0 trillion
- New York: $1.8 trillion
These states have economies larger than many countries, driven by sectors like technology, energy, finance, and entertainment.
State Gross Domestic Product (GDP) per Capita
GDP per capita provides a measure of the average economic output per person, offering insights into the standard of living and economic productivity. Leading states in GDP per capita include:
- Massachusetts: $76,000
- New York: $75,000
- Connecticut: $74,000
These states benefit from high-value industries such as finance, technology, and education.
State Average Salary
Average salaries vary widely based on the dominant industries and cost of living in each state. States with high average salaries typically have a strong presence in high-paying sectors like technology, finance, and healthcare. Notable states include:
- Massachusetts: $76,600
- New York: $74,879
- California: $73,220
State Median Home Prices
Housing costs are a significant component of the cost of living, and median home prices vary dramatically across states. States with high median home prices are often those with limited land supply and high demand, such as:
- California: $787,000
- Hawaii: $750,000
- Washington: $602,000
Conversely, states like West Virginia and Ohio have some of the lowest median home prices, often below $200,000.
Conclusion
Understanding the economic landscape of U.S. states through key indicators like sales tax rates, income tax rates, GDP, GDP per capita, average salary, and median home prices reveals the diverse economic environments across the country. These indicators not only reflect the financial health and opportunities within each state but also influence the living conditions and decisions of residents and businesses. Whether you're considering relocation, investment, or merely seeking to understand the economic dynamics of the U.S., these metrics provide a valuable framework for comparison and analysis.
