Iowa’s real gross domestic product grew by 2.4 percent in 2012, helping to propel overall GDP growth in the Plains region by 2.7 percent, according to the U.S. Bureau of Economic Analysis.
Iowa’s real GDP growth in 2012 followed increases of 2.2 percent in 2011 and 1.9 percent in 2010 after a decline of 1.6 percent in 2009.
Durable goods manufacturing was the largest contributor to U.S. real GDP, according to the BEA, a division of the U.S. Department of Commerce. The industry increased 9.1 percent in 2012, after increasing 6.8 percent in 2011.
Durable goods manufacturing was the leading contributor to real GDP growth in seven of the eight BEA regions and in 22 states, including Iowa. Durable goods are defined as refrigerators, cars or other items that usually continue to be useful for three or more years after they are purchased.
Iowa gained 2,487 manufacturing jobs from January 2012 through January 2013, or about 1 percent, according to the Iowa Manufacturers Register, published by Manufacturers News of Evanston, Ill. The state is home to 5,421 manufacturers employing 264,440 workers.
Finance and insurance also was a leading contributor to U.S. real GDP by state growth. Finance and insurance increased 3.6 percent in 2012, rebounding from –0.6 percent in 2011. The industry contributed to growth in seven of eight BEA regions and was the leading contributor to growth in the Mideast region.
Wholesale trade contributed to real GDP growth in 48 states and the District of Columbia. Wholesale trade increased 4.8 percent in 2012, after increasing 3.0 percent in 2011.
Although mining was not a major contributor to real GDP growth nationally, it was a large contributor in North Dakota, West Virginia, and Texas. In North Dakota, the fastest growing state in 2012, mining contributed 3.26 percentage points to real GDP growth of 13.4 percent.
North Dakota was the only state recording double-digit growth, according to the BEA.
Construction increased in 2012 after eight consecutive years of contraction, rising by 3.2 percent nationally. The industry contributed to real GDP growth in 43 states and the District of Columbia.
By contrast, agriculture, forestry, fishing, and hunting subtracted from real GDP growth in 2012. The industry subtracted from real GDP growth in six of eight BEA regions and in 35 states.