Louisiana’s Economic Growth is One of the Lowest In the Nation
Louisiana has been struggling to create jobs and opportunities for months. Over the last year, 7 people have left the labor force for every 10 people who found employment. Beyond job numbers, the most recent report from the Bureau of Economic Analysis for the second quarter on state Gross Domestic Products (GDP) further showed how Louisiana’s economy is struggling to keep up in the post pandemic era.
In the second quarter Louisiana’s economy grew by 4 percent. At first glance this appears like strong growth, but this ranked 45th in the nation for the second quarter. This comes after Louisiana’s economy grew by only .7 percent ranking 46th in the nation in the first quarter of the year.
The slow growth of Louisiana’s economy can be linked to a number of factors. Louisiana’s economy remains heavily dependent on travel and leisure spending. With fewer people willing to travel due to the COVID-19 and the Delta variant, combined with cancelled events, Louisiana’s economy was bound to struggle more than most.
That said, Louisiana’s policies can be blamed as well. For example, Louisiana’s tax code remains complicated and outdated which forces jobs to leave our state for our neighbors. Also, the overburdensome nature of occupational licensing laws in Louisiana hinders economic mobility and stunts people’s ability to find work.
Economic reports continue to show the status quo is leaving Louisiana behind the rest of the nation. Now is the time for reform to increase jobs and opportunities for Louisiana families.