In the third quarter of 2021, the Kansas economy contracted at the annual rate of 0.3 percent. Gross Domestic Product grew in 37 states, with Kansas ranking fortieth.
In the third quarter of 2021, the Kansas economy contracted at the annual rate of 0.3 percent in real (inflation-adjusted) dollars, according to statistics released recently by Bureau of Economic Analysis, a division of the United States Department of Commerce. BEA says, “Gross domestic product (GDP) by state is the market value
of goods and services produced by the labor and property located in a state. GDP by state is the state counterpart of the nation’s GDP, the Bureau’s featured and most comprehensive measure of U.S. economic activity.”
GDP in Kansas for the quarter was at the annual rate of $196,495 million in current dollars. The third quarter consists of July, August, and September. The Kansas rate of negative 0.3 percent ranked fortieth among the states. The national rate was 2.3 percent, while the rate for the Plains states was 0.8 percent. (For this data, BEA defines Plains states as Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, and South Dakota.)
Chart 6b shows Kansas along with the nation and Plains states, plotting the change from the previous quarter, expressed as an annualized rate.
Click charts and tables for larger versions.
The economy is still affected by the response to the pandemic, as BEA noted in the release accompanying the data:
The 2021 third-quarter estimates of GDP by state reflect the continued economic impacts related to the COVID-19 pandemic. A resurgence of COVID-19 cases resulted in new restrictions and delays in the reopening of establishments in some parts of the country. Government pandemic assistance payments to households and business decreased. The full economic effects of the COVID-19 pandemic cannot be quantified in the GDP by state estimates, because the impacts are generally embedded in source data and cannot be separately identified.
In chart 7, the table of industries, we see that Kansas industries that grew significantly are:
- Arts, entertainment, and recreation
- Accommodation and food services
- Educational services
- Professional, scientific, and technical activities
- Transportation and warehousing
Industries that contracted significantly include:
- Agriculture, forestry, fishing, and hunting
- Mining, quarrying, and oil and gas extraction
- Retail trade
Chart 1a shows GDP change for selected industries and nearby states. This chart begins with the first quarter of 2020, which contains the pandemic’s start. For change in GDP for all industries, only Oklahoma fares worse than Kansas. We also see that state and local government grew rapidly in Kansas, at a rate higher than any of the selected geographies.
For the complete release at BEA, click on Gross Domestic Product by State, 3rd Quarter 2021.
I have developed an interactive visualization of this data. To access, click on Visualization: Quarterly Real Gross Domestic Product by state and industry.