Hunter
04/02/25
New data released by the US Bureau of Economic Analysis indicates Iowa’s economy shrunk by half a percentage point in 2024, ranking it just above North Dakota as the second-worst performing state in the country.
KGAN TV reports the state also ranked 48th in personal income growth at 2.4%, ahead of only Nebraska and North Dakota, and had the second-slowest job growth nationwide in 2024 at -0.6 %, trailing only the U.S. Virgin Islands.
University of Iowa professor of economics Anne Villamil says Iowa’s underperformance is related to four factors; a decline in agriculture, a decline in manufacturing, Iowa’s slow job growth, and ongoing trade policy. She added any expansions to the trade war by the Trump Administration are likely to deepen the downturn.
Iowa Democratic Policy Chair Rita Hart placed blame on Republican leadership; Iowa GOP Communications Director Jade Cichy blamed the Biden administration in a statement sent to KGAN.