Real GDP per Capita by State: 2025 Rankings, Trends, and What the Data Shows

Real GDP per capita is one of the most direct measures of a state’s economic performance, showing how much inflation-adjusted output each resident produces on average. The latest data from the U.S. Bureau of Economic Analysis show that real GDP increased in all 50 states and the District of Columbia in the third quarter of 2025, but the pace varied sharply, from 6.5 percent in Kansas to 0.4 percent in North Dakota. Per capita output remains highly uneven, with the District of Columbia and states with large finance, technology, and energy sectors typically leading the rankings.

Key Numbers

• National real GDP growth (Q3 2025): 4.4% annual rate
• Fastest-growing state (Q3 2025): Kansas, 6.5%
• Slowest-growing state (Q3 2025): North Dakota, 0.4%
• States with positive growth: All 50 states and the District of Columbia
• Top five states’ share of U.S. GDP (2022): 41% (California, Texas, New York, Florida, Illinois)
• Leading growth industries (Q3 2025): Information; finance and insurance; professional, scientific, and technical services
• Inflation adjustment: Chained 2017 dollars
• Long-term per capita growth leaders (2000–2024): North Dakota, Texas, Washington, California

Explanation

Real gross domestic product (GDP) by state measures the value of all final goods and services produced within a state’s borders, adjusted for inflation. Dividing that figure by the state’s population yields real GDP per capita, a widely used indicator of average economic productivity. The Bureau of Economic Analysis (BEA) publishes quarterly state GDP estimates, and the most recent release covers the third quarter of 2025.

Unlike nominal GDP, which can rise simply because prices increase, real GDP uses chained 2017 dollars to remove the effects of inflation. This makes it possible to compare output over time and across states on a consistent basis. Per capita values are especially useful because they control for population size: a large state may have a high total GDP, but its per capita output may be lower if it also has a large population.

State economies differ widely in industry mix. Some states have high per capita GDP because they host high-value service sectors such as finance, information, and professional services, while others benefit from energy extraction or federal government activity. Population growth also matters: states adding residents quickly may see total GDP rise even as per capita output grows more slowly.

Definition

Real GDP per capita by state is the inflation-adjusted value of all final goods and services produced within a state in a given period, divided by the state’s resident population. It is expressed in chained 2017 dollars, which adjust for changes in the prices of goods and services over time. The measure reflects production that occurs within state borders, regardless of whether the income generated stays in the state.

How GDP Is Calculated

The BEA estimates state GDP by summing the value added by each industry in the state. Value added equals the difference between an industry’s output and the cost of its intermediate inputs. In practice, BEA uses data on earnings, employment, and output by industry to allocate national GDP to states. State estimates are benchmarked to national totals and revised as more complete data become available.

Nominal vs Real GDP

Nominal GDP is measured in current prices, while real GDP is adjusted for inflation. For state comparisons, real GDP is preferred because it isolates changes in the actual quantity of goods and services produced. BEA uses chained 2017 dollars for real state GDP, meaning the prices are based on a 2017 reference year but adjusted using a chain-type index to reflect changing consumption patterns.

GDP Per Capita

Dividing real GDP by population produces real GDP per capita, an average measure of economic output per resident. It is not the same as personal income or household income. A state can have high GDP per capita because of a large corporate sector, energy production, or federal installations, even if many residents have modest incomes. For example, the District of Columbia consistently has the highest GDP per capita in the United States because of its concentration of high-value services and federal activity.

State Comparison

States vary widely in real GDP per capita. The District of Columbia typically ranks first, followed by states such as New York, Massachusetts, Washington, and California, which have large finance, technology, and professional services sectors. Energy-producing states like North Dakota and Alaska also rank high when commodity prices are strong. In contrast, states with large populations and more diverse or lower-productivity industries often have lower per capita output.

• High per capita output: District of Columbia, New York, Massachusetts, Washington, California, Connecticut, North Dakota
• Large total GDP but lower per capita: Texas, Florida, Illinois, Pennsylvania, Ohio
• Fast per capita growth 2000–2024: North Dakota, Texas, Washington, California

National Comparison

In the third quarter of 2025, U.S. real GDP increased at an annual rate of 4.4 percent. All 50 states and the District of Columbia expanded, but growth ranged from 6.5 percent in Kansas to 0.4 percent in North Dakota. The national expansion was led by information, finance and insurance, and professional, scientific, and technical services. Durable-goods manufacturing also contributed to growth in many states.

Ranking Table

The table below shows the top five states by total real GDP in 2022, based on BEA data cited by the Texas A&M Private Enterprise Research Center. These states together accounted for 41 percent of U.S. GDP. Per capita rankings are different: the District of Columbia and smaller high-productivity states often lead, while some large states rank lower on a per capita basis.

Year-over-Year Change

BEA reports quarterly state GDP growth as annualized rates, meaning the change from the previous quarter is compounded to an annual pace. In Q3 2025, Kansas had the fastest growth at 6.5 percent, while North Dakota had the slowest at 0.4 percent. The national rate was 4.4 percent. These quarterly changes can be volatile and are often revised in subsequent releases.

10-Year Change

Looking at the period from 2000 to 2024, real GDP per capita growth varied significantly by state. North Dakota and Texas benefited from surging energy production, while Washington and California grew well above the national average because of their technology sectors. The national average growth was positive, but some states with slower population growth or weaker industry performance lagged behind.

• Energy-driven growth: North Dakota, Texas
• Technology-driven growth: Washington, California
• Above-average long-term growth: These four states outpaced the U.S. average from 2000 to 2024

Factors Behind the Trend

Several factors shape state GDP per capita. Industry mix is critical: states with large finance, information, professional services, or energy sectors tend to have higher output per worker. Population growth also matters; fast-growing states may see total GDP rise quickly, but per capita gains can be smaller if population grows at a similar pace. Education levels, infrastructure, and federal spending further influence productivity.

Why It Matters

Real GDP per capita is a broad indicator of economic productivity and, indirectly, living standards. It helps policymakers compare state economic health, identify structural strengths and weaknesses, and evaluate whether growth is translating into higher output per person. Businesses use the data to assess market size and productivity, while residents can use it to understand their state’s economic position.

Limitations of the Data

GDP per capita has important limitations. It does not measure income distribution, non-market activity, environmental quality, or overall well-being. It can be inflated in states with large commuter populations or corporate headquarters, and it may not reflect the economic experience of typical residents. State GDP estimates are also subject to revision as more complete data become available.

GDP per capita is a measure of production, not income or well-being; a state can have high output per resident even if many residents do not share in that output.

Source & Data Date

Primary source: U.S. Bureau of Economic Analysis, Gross Domestic Product by State and Personal Income by State, 3rd Quarter 2025, released January 23, 2026. Additional context from Statista (2025 real GDP per capita by state, chained 2017 dollars), the Texas A&M Private Enterprise Research Center (2022 top states by real GDP), and Visual Capitalist (2000–2024 GDP per capita growth).