N.D. Gross Domestic Product Reaches $34.7 billion

The current-dollar gross domestic product (GDP) was $34.7 billion for North Dakota in 2010.

The government sector made up 14 percent of North Dakota’s total GDP. Real estate captured 11 percent, followed by health care (9 percent), agriculture (8 percent), manufacturing (8 percent) and wholesale trade (7 percent).

This month’s “Economic Brief,” a monthly publication from the North Dakota State Data Center at North Dakota State University, focuses on state gross domestic product by industry sector.

According to the Bureau of Economic Analysis, gross domestic product by state, considered the state counterpart of the nation’s GDP, is the value added in production by the labor and capital in a state.

After adjusting for inflation, North Dakota’s real-dollar GDP grew 7 percent from 2009 to 2010. It was the fastest economic growth in the nation.

Mining was the leading contributor to real-dollar GDP growth in North Dakota. That was followed by real estate and wholesale trade.

“Mining added nearly 2 percentage points to our state’s real-dollar GDP growth of 7 percent from 2009 to 2010,” says Richard Rathge, State Data Center director. “This demonstrates the large economic impact that energy development activities are having on the state. Our state’s per-capita GDP was $46,336 in 2010, which ranks us 12th highest in the nation compared with the 39th highest in 2000.”

Real-dollar GDP increased in 48 states and the District of Columbia in 2010. Real-dollar GDP by state grew 2.6 percent nationally in 2010 after declining 2.5 percent in 2009.

For additional GDP information and methodology, go to http://www.bea.gov/regional/gsp.

NDSU Agriculture Communication