Maine incomes rise at 8th fastest rate > Alaska No. 1 in per capita income growth

WASHINGTON — Maine incomes were the 26th highest in the nation last year, while per capita earnings grew at the eighth fastest rate among the states, according to a government report released Wednesday.

The Commerce Department’s Bureau of Economic Analysis says that Easterners continued to have the highest per capita incomes in 1989, but nine of the 10 states with the fastest growth in per capita income were in the West and the Farm Belt.

Alaska ranked first in per capita income growth with a 12.6 percent gain over the previous year, according to revised estimates by the Commerce Department’s Bureau of Economic Analysis. It also ranked fourth highest in per capita income with $21,656.

Per capita income is the annual total personal income of residents divided by the state’s population. Personal income is income received from all sources, less personal contributions for social insurance.

Following Alaska with the fastest per capita growth were North Dakota, 9.9 percent; Hawaii, 9.7 percent; Montana, 9.4 percent; South Dakota, 8.6 percent; Idaho, 8.3 percent; Iowa, 8.2 percent; Maine and Nevada, 8 percent each, and Washington state, 7.8 percent.

The national average growth rate was 6.6 percent and the average per capita income was $17,596.

Maine’s per capita income was $16,248.

States with the slowest growth were New Hampshire, 4.4 percent; Georgia, 5.1 percent; Kansas, 5.2 percent, and Arizona and California, 5.4 percent each.

“The four western states of Alaska, Hawaii, Nevada and Washington had fast non-farm income growth, mainly in manufacturing, construction and private service-type industries,” the report said.

“The five farm states of North Dakota, Montana, South Dakota, Idaho and Iowa had fast growth in farm income, mainly reflecting a rebound from the 1988 drought,” it said, adding that in Maine, both farm and non-farm income grew fast.

But Connecticut remained at the top of the list with the highest per capita income, $24,683. It was followed by New Jersey, $23,778; Massachusetts, $22,683; Alaska; New York, $21,073; Maryland, $21,013; New Hampshire, $20,267; California, 19,929, Nevada, $19,269, and Virginia, $18,927.

The District of Columbia was not ranked as a state, but posted a per capita income of $23,491.

At the bottom of the list were Mississippi, $11,724; West Virginia, $12,345; Arkansas, $12,901; Louisiana, $12,921, and Utah $13,079.