Kansas Has Highest GDP and Personal Income Growth in 3Q2025

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The US Bureau of Economic Analysis released state GDP and personal income statistics for 3Q2025 this morning and wide ranges were reported for both data sets. While all 50 states saw GDP growth in the third quarter, the figures ranged from a high of 6.5% for Kansas, to a low of 0.4% for North Dakota. Interestingly enough, these two states were almost mirror images of each other in that the agriculture, forestry, fishing and hunting category was the greatest contributor to GDP growth in Kansas, but the largest detractor to growth in North Dakota. The category accounted for 1.97% of the 6.5% total growth in Kansas (durable goods being the other principal contributor at 1.05%). Conversely, this industry group pulled 2.76% from North Dakota’s GDP growth, offsetting the contributions from all of the other industry categories combined. 


Kansas also recorded the highest personal income growth in the quarter at 6.3%. Net earnings contributed the most to this growth, accounting for 4.33% of the total, almost half of that coming from farm income. The only state to post a higher rate of net earnings growth was Iowa at 4.37%, also driven in large measure by farm income. Louisiana had the lowest personal income growth in the quarter at a barely positive 0.1%. This wasn’t the result of net earnings volatility, as the growth rate in earnings for Louisiana was fairly stable q/q, but rather a significant drop in Social Security transfer receipts, which fell 8.0% q/q. The resultant 1.7% decline in overall transfer receipts almost entirely offset the quarterly gains from net earnings.



 


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