Economy of Arizona
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The 2011 total gross state product was $259 billion. This figure gives Arizona a larger economy than such countries as Ireland, Finland, and New Zealand. [dubious – discuss] The composition of the state's economy is moderately diverse; although health care, transportation and the government remain the largest sectors.
The state's per capita income is $40,828, ranking 39th in the U.S. The state had a median household income of $50,448, making it 22nd in the country and just below the U.S. national mean.[1] Early in its history, Arizona's economy relied on the "five C's": copper (see Copper mining in Arizona), cotton, cattle, citrus, and climate (tourism). Copper is still extensively mined from many expansive open-pit and underground mines, accounting for two-thirds of the nation's output.
Employment
Total employment 2016
- 2,379,409
Total employer establishments 2016
- 139,134[2]
The state government is Arizona's largest employer, while Banner Health is the state's largest private employer, with over 39,000 employees (2016). As of March 2016[update], the state's unemployment rate was 5.4%.[3]
The top employment sectors in Arizona are (August 2014, excludes agriculture):
Sector | Employees (thousands) |
---|---|
Trade, transportation, and utilities | 488.6 |
Government | 408.5 |
Education and health services | 392.1 |
Professional and business services | 384.2 |
Leisure and hospitality | 286.4 |
Financial activities | 193.2 |
Manufacturing | 156.0 |
Construction | 118.2 |
Other services | 88.2 |
Information | 41.8 |
Mining and logging | 13.7 |
Largest employers
According to The Arizona Republic, the largest private employers in the state as of 2016[update] were:[4]
Taxation
Arizona collects personal income taxes in five brackets: 2.59%, 2.88%, 3.36%, 4.24% and 4.54%.[5] The state transaction privilege tax is 5.6%; however, county and municipal sales taxes generally add an additional 2%.
The state rate on transient lodging (hotel/motel) is 7.27%. The state of Arizona does not levy a state tax on food for home consumption or on drugs prescribed by a licensed physician or dentist. However, some cities in Arizona do levy a tax on food for home consumption.
All fifteen Arizona counties levy a tax. Incorporated municipalities also levy transaction privilege taxes which, with the exception of their hotel/motel tax, are generally in the range of 1-to-3%. These added assessments could push the combined sales tax rate to as high as 10.7%.
Single | Tax rate | Joint | Tax rate |
---|---|---|---|
0 – $10,000 | 2.59% | 0 – $20,000 | 2.59% |
$10,000 – $25,000 | 2.88% | $20,001 – $50,000 | 2.88% |
$25,000 – $50,000 | 3.36% | $50,001 – $100,000 | 3.36% |
$50,000 – $150,001 | 4.24% | $100,000 – $300,001 | 4.24% |
$150,001 + | 4.54% | $300,001 + | 4.54% |
References
- ^ "News Release" (PDF). Archived from the original (PDF) on September 21, 2012. Retrieved December 28, 2011.
- ^ "Archived copy". Archived from the original on November 9, 2019. Retrieved November 11, 2019.
{{cite web}}
: CS1 maint: archived copy as title (link) - ^ "Arizona Economy at a Glance". Bls.gov. Archived from the original on September 23, 2016. Retrieved September 9, 2016.
- ^ "Arizona Republic 100: State's biggest employers". The Arizona Republic.
- ^ "Arizona Income Tax Rates for 2017". www.tax-rates.org. Archived from the original on February 27, 2017. Retrieved February 26, 2017.