States With The Most Big Spenders? Hello North Dakota, In the Top!
According to the Bureau of Economics Analysis (BEA), Mississippians spent $27,406 per capita -- the lowest in the nation -- and Massachusetts are the biggest spenders with the highest expenditure, at $47,308 per capita in 2012. Where does North Dakota fall on the list? You could be surprised!
According to Yahoo.com,
Barry Bosworth, Senior Fellow at the Brookings Institution said "The high level of consumption in America also makes it difficult to get an accurate picture of spending habits. “Nobody can remember how they spent their money,” Bosworth said. In wealthy countries like the U.S., there are simply too many ways to spend money to accurately measure.
High spending is closely tied to housing costs, which are largely made up of mortgage payments. In the states spending the most, residents paid an average of $44,824 on their mortgages in 2012. By contrast, residents in the 10 lowest-spending states paid just over $16,000 for housing. Bosworth noted that housing tends to be such a distinguishing feature because higher-income Americans purchase more valuable homes, “and hence the consumption shows up as being higher in turn.”
With that said, here are the top big spending states-
5. New York > 2012 spending per capita: $42,043 > Personal income per capita: $53,241 (6th highest)
4. New Jersey > 2012 spending per capita: $42,654 > Personal income per capita: $54,987 (3rd highest)
3. North Dakota > 2012 spending per capita: $44,029 > Personal income per capita: $54,871 (4th highest) > Pct. bachelor's degree: 27.9% (25th highest) > June unemployment rate: 3.0% (the lowest)
North Dakota is exceptional among states spending the most because the wealth of its residents is a relatively recent development. Annual personal spending growth has led the nation for several years. Between 2011 and 2012, total personal consumption expenditure rose by 11.5%, far more than any other state. Increased spending has accompanied staggering growth rates for the state’s economy. Due to the recent oil boom, the state’s economic output has roughly doubled over a 10 year period. North Dakota’s unemployment rate was the lowest in the country as of June, at just 3.0%.
2. Connecticut > 2012 spending per capita: $45,800.
1. Massachusetts > 2012 spending per capita: $47,308.
Congratulations North Dakota! I never considered myself to be among the elite of the big spenders, but apparently I am! I'm going buy something!
(source Yahoo.com and 24/7 Wall Street)