The U.S. economy reported its worst quarterly decline in modern history during the COVID-19 pandemic, with gross domestic product shrinking at an annual rate of 31.4% in the second quarter. The economy bounced back in the third quarter, but efforts to contain the virus's spread throughout 2020 still resulted in a 3.5% annual economic contraction in the United States.
Arriving on the heels of a historic period of growth, COVID-19 brought about a decline in gross domestic product in every state in the country. However, no two state economies are alike, and partially as a result, some states were hit far harder than others.
Oklahoma is one of only three states to report a decline in economic output of over 6% in 2020. Oklahoma's GDP fell 6.1%, from $197.9 billion in 2019 to $185.9 billion in 2020. In most of the country, sectors related to travel and tourism reported the largest declines in 2020. In Oklahoma, however, the resource extraction sector contracted the most.
Oklahoma is the fourth largest oil-producing state, and during the pandemic, demand for fossil fuels plummeted and oil prices cratered. Output in Oklahoma's mining, quarrying, and oil and gas extraction sector fell by 22.5% in 2020. Meanwhile, retail trade and information were the only sectors in the state to report growth last year, expanding by 1.3% and 1.1%, respectively.
States are ranked based on the percentage change in real GDP from 2019 to 2020. Data on GDP and industry-specific real GDP came from the BEA. Data on average annual employment and the seasonally adjusted monthly unemployment rate each came from the Bureau of Labor Statistics.
RankStateChange in GDP, 2020 (%)April 2021 unemployment (%)Change in nonfarm employment, 2020 (%)1Hawaii-8.08.5-9.42Wyoming-7.05.4-4.13Oklahoma-6.14.3-4.94New York-5.98.2-10.35West Virginia-5.55.8-6.66Louisiana-5.57.3-1.87Vermont-5.42.9-9.38Michigan-5.44.9-5.89Alaska-4.96.7-8.710Tennessee-4.95.0-17.511New Hampshire-4.72.8-6.712Nevada-4.68.0-10.413Rhode Island-4.56.3-8.814Wisconsin-4.53.9-6.315Pennsylvania-4.47.41.916Maine-4.14.8-6.417Connecticut-4.18.1-7.718New Jersey-4.17.5-8.419South Carolina-4.15.0-5.120Illinois-4.07.1-7.121Ohio-4.04.7-6.122Delaware-3.96.4-6.023Massachusetts-3.86.5-9.024Minnesota-3.74.1-6.925Kentucky-3.74.7-5.626Missouri-3.64.1-4.827North Dakota-3.54.2-6.728Texas-3.56.7-4.329New Mexico-3.18.2-6.730Indiana-3.13.9-5.531Montana-3.03.7-3.132Kansas-3.03.5-4.633Florida-2.94.8-5.234Oregon-2.86.0-6.635Mississippi-2.86.2-4.336California-2.88.3-7.437Alabama-2.73.6-4.338Maryland-2.66.2-6.839Arkansas-2.64.4-3.040Georgia-2.54.3-4.641North Carolina-2.55.0-4.342Virginia-2.54.7-5.043Iowa-2.33.8-5.144Nebraska-2.12.8-3.645South Dakota-1.72.8-3.446Colorado-1.56.4-5.247Idaho-1.13.1-0.748Arizona-0.96.7-3.149Washington-0.75.5-5.350Utah-0.12.8-1.6
via Oklahoma's Center Square News