Economy of Arizona
 | Parts of this article (those related to employment data) need to be updated. (May 2024) |
The Economy of Arizona had a total gross state product $508 billion in 2023.[1] The composition of the state's economy is moderately diverse; although health care, transportation and the government remain the largest sectors.
Arizona's per capita income was $61,652 in 2023, ranking 33rd in the U.S.[2] The state had a median household income of $74,568, making it 19th in the country and just below the U.S. national mean.[3]
Early in its history, Arizona's economy relied on the "five C's": copper (see Copper mining in Arizona), cotton, cattle, citrus, and climate (tourism). Copper is still extensively mined from many expansive open-pit and underground mines, accounting for two-thirds of the nation's output.
Employment
[edit]Total employment 2016
- 2,379,409
Total employer establishments 2016
- 139,134[4]
The state government is Arizona's largest employer, while Banner Health is the state's largest private employer, with over 39,000 employees (2016). As of March 2016[update], the state's unemployment rate was 5.4%.[5]
The top employment sectors in Arizona are (August 2014, excludes agriculture):
| Sector | Employees (thousands) |
|---|---|
| Trade, transportation, and utilities | 488.6 |
| Government | 408.5 |
| Education and health services | 392.1 |
| Professional and business services | 384.2 |
| Leisure and hospitality | 286.4 |
| Financial activities | 193.2 |
| Manufacturing | 156.0 |
| Construction | 118.2 |
| Other services | 88.2 |
| Information | 41.8 |
| Mining and logging | 13.7 |
Largest employers
[edit]According to The Arizona Republic, the largest private employers in the state as of 2016[update] were:[6]
Taxation
[edit]Arizona collects personal income taxes in five brackets: 2.59%, 2.88%, 3.36%, 4.24% and 4.54%.[7] The state transaction privilege tax is 5.6%; however, county and municipal sales taxes generally add an additional 2%.
The state rate on transient lodging (hotel/motel) is 7.27%. The state of Arizona does not levy a state tax on food for home consumption or on drugs prescribed by a licensed physician or dentist. However, some cities in Arizona do levy a tax on food for home consumption.
All fifteen Arizona counties levy a tax. Incorporated municipalities also levy transaction privilege taxes which, with the exception of their hotel/motel tax, are generally in the range of 1-to-3%. These added assessments could push the combined sales tax rate to as high as 10.7%.
| Single | Tax rate | Joint | Tax rate |
|---|---|---|---|
| 0 – $10,000 | 2.59% | 0 – $20,000 | 2.59% |
| $10,000 – $25,000 | 2.88% | $20,001 – $50,000 | 2.88% |
| $25,000 – $50,000 | 3.36% | $50,001 – $100,000 | 3.36% |
| $50,000 – $150,001 | 4.24% | $100,000 – $300,001 | 4.24% |
| $150,001 + | 4.54% | $300,001 + | 4.54% |
See also
[edit]References
[edit]- ^ "GDP by State". GDP by State | U.S. Bureau of Economic Analysis (BEA). Bureau of Economic Analysis. Retrieved 20 May 2024.
- ^ Account, Economic (2024-03-29). "Personal Income by State". U.S. Bureau of Economic Analysis (BEA). Retrieved 2024-05-20.
- ^ Bureau, U.S. Census. "S1901: Income in the Past 12 Months". Explore Census Data. Retrieved 2024-05-20.
- ^ "U.S. Census Bureau QuickFacts: Arizona". Archived from the original on November 9, 2019. Retrieved November 11, 2019.
- ^ "Arizona Economy at a Glance". Bls.gov. Archived from the original on September 23, 2016. Retrieved September 9, 2016.
- ^ "Arizona Republic 100: State's biggest employers". The Arizona Republic.
- ^ "Arizona Income Tax Rates for 2017". www.tax-rates.org. Archived from the original on February 27, 2017. Retrieved February 26, 2017.
