Does Washington Economy Feel Like One of the Best in the U.S.?

Washington state's budget has soared to about $78 billion in appropriations and a 6.5% increase over the 2023-25 spending plan.  WA is facing a revenue shortfall of at least $7 billion,  to as much as $10 billion over the next four years and tax hikes to meet the revenue deficit.

The state got into this predicament because it has outspent revenues for the last six years.  House and Senate republicans in Olympia also claim democrats in control of the legislature have juiced the revenue projections to justify increased spending to meet an rise in social program needs.  GOP lawmakers counter that K-12 enrollment and prison populations is actually down and there are fewer on people on Medicaid n recent years.

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So it's interesting to hear the Evergreen State economy is one of the best in the country, according to a survey conducted by Wallethub, a financial data services company

The report compared all 50 states and the District of Columbia across nearly 30 key indicators, ranging from change in GDP, to startup activity, and to the share of high-tech jobs.

Here is where Washington state was ranked and you can read more on all 50 state economies below.

How Did Washington State Economic Performance Rank?

• Overall Rank: 3^rd
• 7^th – Change in GDP
• 7^th – Exports per Capita
• 14^th – Startup Activity
• 2^nd – % of Jobs in High-Tech Industries
• 6^th – Annual Median Household Income
• 20^th – Change in Nonfarm Payrolls

The data showed Washington has the third-best state economy in the country, with a leading amount of industry R&D investment per capita, which allows it to be at the forefront of new tech.  Washington has the second-highest percentage of jobs in high-tech industries and the second-highest share of STEM (Science, Technology, Engineering & Math) professionals.

Income in Washington:

• Overall Rank: 5^th
• 8^th – Average Annual Income of Top 5% (Adjusted for COLI): $499,994
• 11^th – Median Annual Income (Adjusted for COLI): $109,171
• 7^th – Average Annual Income of Bottom 20% (Adjusted for COLI): $18,777

In addition, Washington is seventh in the U.S. for the number of firms listed on the Technology Fast 500 list, and is third in the country in the number of invention patents per capita. WalletHub contends this will spur business growth and new technology will expand the economy in the future.

To top things off, new residents in Washington are the seventh-most educated in the country, and we have the sixth-highest median household income after adjusting for the cost of living.

“A strong state economy doesn’t guarantee success for the state’s residents, but it certainly makes financial success more attainable. Factors like a low unemployment rate and high average income help residents purchase property, pay down debt and save for the future. The best state economies also encourage growth by being friendly to new businesses and investing in new technology that will help the state deal with future challenges and become more efficient.”
--Chip Lupo, WalletHub Analyst

For the full report, please visit:
https://wallethub.com/edu/states-with-the-best-economies/21697