America’s Economic Engines: The Biggest Industry In Every State

Ever wondered what fuels each state’s economy? In most cases, the biggest industry is either real estate or manufacturing.

This Markets in a Minute graphic, via Visual Capitalist’s Jenna Ross, in partnership with Terzo, highlights the industry contributing the most to GDP in every state.

The Biggest Industry Ranking

Real estate powers the economy in over half of states. This is largely because the Bureau of Economic Analysis treats homeowners as landlords renting to themselves, and includes the rental value in GDP. If economists did not include this value, a jump in the homeownership rate would cause GDP to drop. 

On top of this, the real estate industry includes rent paid by renters, property taxes, construction, remodeling, and brokers’ fees.

State/District
Biggest Industry
Alabama
Manufacturing
Alaska
Transportation & Warehousing
Arizona
Real Estate
Arkansas
Manufacturing
California
Real Estate
Colorado
Real Estate
Connecticut
Real Estate
Delaware
Finance & Insurance
District of Columbia
Government
Florida
Real Estate
Georgia
Real Estate
Hawaii
Real Estate
Idaho
Real Estate
Illinois
Real Estate
Indiana
Manufacturing
Iowa
Manufacturing
Kansas
Manufacturing
Kentucky
Manufacturing
Louisiana
Manufacturing
Maine
Real Estate
Maryland
Real Estate
Massachusetts
Professional & Technical Services
Michigan
Manufacturing
Minnesota
Real Estate
Mississippi
Manufacturing
Missouri
Real Estate
Montana
Real Estate
Nebraska
Finance & Insurance
Nevada
Real Estate
New Hampshire
Real Estate
New Jersey
Real Estate
New Mexico
Real Estate
New York
Finance & Insurance
North Carolina
Manufacturing
North Dakota
Mining, Oil & Gas
Ohio
Manufacturing
Oklahoma
Government
Oregon
Real Estate
Pennsylvania
Real Estate
Rhode Island
Real Estate
South Carolina
Real Estate
South Dakota
Finance & Insurance
Tennessee
Manufacturing
Texas
Real Estate
Utah
Real Estate
Vermont
Real Estate
Virginia
Real Estate
Washington
Information
West Virginia
Mining, Oil & Gas
Wisconsin
Manufacturing
Wyoming
Mining, Oil & Gas

Source: U.S. Bureau of Economic Analysis. Data for the 2024 calendar year. Some industry names have been shortened including real estate and rental and leasing; mining, quarrying, and oil and gas extraction; federal civilian and state and local government; and professional, scientific, and technical services.

In second place, manufacturing is the biggest industry in 13 states. Its prominence is heavily concentrated in the Midwest and the South thanks to the long history of the sector in some states, large plots of available land, and government support.

Rare Economic Leaders

Outside of real estate and manufacturing, some industries are the top GDP driver in a much smaller number of states.

For instance, finance and insurance is the biggest industry in New York, Delaware, Nebraska, and South Dakota. Over half of publicly-traded U.S. companies incorporate in Delaware thanks to balanced and flexible corporate laws, a business-friendly environment, and a respected legal community. In South Dakota, financial services are drawn to the state’s business-friendly taxes and trust laws that can shield families from inheritance taxes indefinitely. 

Mining and oil and gas creates the biggest economic output in three states. North Dakota is the third-largest crude oil producer in the country, while Wyoming and West Virginia are America’s top two coal producers.

The government is the biggest GDP driver in D.C. and Oklahoma. Lastly, professional and technical services (Massachusetts), information (Washington), and transportation and warehousing (Alaska) were the top industry in one state each.