In this piece, we will take a look at the 25 richest U.S. cities by GDP per capita. For more rich U.S. cities, head on over to the 5 Richest U.S. Cities by GDP Per Capita.
The United States has been well-renowned as the land of opportunities for decades. The economic prowess and entrepreneurial spirit of the US make it the largest economy in the world. The richest US cities are home to some of the largest multinational corporations in the world. From bustling metropolises to tech hubs, the US cities are economic zones that have paved the way for several industries. These cities have become some of the wealthiest cities not only in the US but in the world. However, the richest US cities are also facing economic crises due to ongoing global economic issues. The high interest rates, increasing inflation, and ongoing geopolitical events in the Middle East are creating much economic uncertainty. On December 22, the United States Institute of Peace reported that the drone and missile attacks by Yemeni Houthis on ships in the Red Sea have disrupted global supply chains. About 12% of global trade passes through the Red Sea, accounting for billions of dollars of goods. Almost 30% of the world’s container shipping is channeled through the Red Sea. The increasing tensions in the region are creating huge supply chain risks, which can lead to increased prices of goods in Europe and the US.
The US Economic Outlook
We have highlighted the major global threat which is all driven by Israel’s aggression and bombing against the innocents of Gaza. Now, the new events unfolding in the region can cause another global economic turmoil, potentially impacting the economic outlook for 2024. Despite the risks, economic growth improved to a certain extent in the US in 2023. The increase in manufacturing investment during the third quarter of 2023 has boosted economic growth in the US. The private manufacturing construction investment reached a record-high level, the highest since 1958. On December 25, Business Insider shared the economic developments and outlook for 2024 for the US. The US economy is expected to remain slow in 2024 as leading banks and economists project the GDP growth between 0.5% and 2% for 2024. JPMorgan Chase & Co. (NYSE:JPM) forecasts a conservative growth rate of 0.7%, while the Conference Board estimates growth rate of 0.9%.
According to Goldman Sachs, the US GDP is expected to grow 2.1% on a full-year basis. If this projection comes true it would beat the low consensus expectations. The consumption growth is expected to be just under 2%, with real disposable income growth of almost 3%. The business investment is projected to grow roughly 2% as the surge in manufacturing facility investments driven by CHIPS Act and Inflation Reduction Act subsidies slows down. Residential investment is expected to remain flat as the shortage in the housing sector continues.
2023 successfully defied recession fears and by the end of the year, there were a few expectations for a soft landing. However, the potential soft landing wasn’t feasible. According to Greg McBride, chief financial analyst for Bankrate, there is more hope for a soft landing heading into 2024 compared to 2023, as reported by NBC News. The good thing is that the hard part of the inflation fight now looks over. Goldman Sachs analysts see an average 15% probability of recession over the next 12 months.
The richest cities in the United States always play a key role in the economic development of the country. The richest cities in the US are home to billionaires and millionaires with top cities including Washington, D.C., New York City, and Boston, among the leaders.
Key Companies in Wealthiest US Cities
The US companies are some of the biggest companies in the world that play a significant role in wealth creation and economic transformation in the country. Companies including Marriott International, Inc. (NASDAQ:MAR), Verizon Communications Inc. (NYSE:VZ), and General Electric Company (NYSE:GE) are a few of the top corporations based out of the richest cities in the US.
Marriott International, Inc. (NASDAQ:MAR) is an American multinational giant that operates in hotel, residential, and timeshare properties. Marriott International, Inc. (NASDAQ:MAR) began as an A&W Root Beer franchise in Washington, D.C., in May 1927. On December 20, Marriott International, Inc. (NASDAQ:MAR) announced the opening of JW Marriott Hotel Xi’an Southwest China. JW Marriott is the company’s international luxury hotel brand. The hotel is located near UNESCO World Heritage sites, historical attractions, and iconic landmarks. The company continues to make global expansion. On November 2, Marriott International, Inc. (NASDAQ:MAR) reported its earnings for the third quarter of 2023. The company posted earnings per share of $2.11, beating consensus by $0.01. The company’s revenue was reported at $5.93 billion, ahead of estimates by $59.50 million.
Verizon Communications Inc. (NYSE:VZ) is an American multinational telecommunications conglomerate based out of New York City. On December 11, Verizon Communications Inc. (NYSE:VZ) announced a $100,000 award to NextWaveSTEM (NWS) for the development of Project Integrated Neighborhood Technology Engagement Laboratory (Project INTEL) in Chicago. Verizon Communications Inc.’s (NYSE:VZ) grant to NextWaveSTEM is part of its $1 million national initiative to help communities navigate the increasingly technological world. NWS in collaboration with Gary Comer Youth Center will design and implement Project INTEL, a program focused on STEM education, workforce preparation, and emerging tech innovation.
General Electric Company (NYSE:GE) is based out of Boston and is one of the leading multinational companies in the US. On December 13, General Electric Company’s (NYSE:GE) joint venture, Prolec GE, announced additional manufacturing investments worth $85 million to meet the increasing demand for single-phase pad-mount transformers in North America. Prolec GE will enhance its manufacturing capacity in Monterrey through a new facility that will be able to duplicate the number of transformers produced at its existing Mexico facility.
These were a few top US companies making a major impact in the region and around the world. Now, let’s take a look at the richest US cities by GDP per capita.
25 Richest U.S. Cities by GDP Per Capita
Our Methodology
To compile or list the richest U.S. cities by GDP per capita, we first needed to have GDP per capita or GDP for each city in the US, which isn’t available. Therefore, we took the real GDPs for each state and divided them by their respective population to find each state’s GDP per capita data. We then choose the most populous city from the top 25 states with the highest GDP per capita. We have ranked the richest U.S. cities by GDP per capita based on the state GDP per capita.
We took data from the Bureau of Economic Analysis for the real GDP of states. For population data, we used population figures from the US Census Bureau, and for the population of cities, we used data from Macro Trends and the US Census Bureau.
By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using different consensus approaches, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
25 Richest U.S. Cities by GDP Per Capita
25. Philadelphia, Pennsylvania
State GDP Per Capita: $61,269
Philadelphia is one of the most populous cities in the US with a total population of 5.78 million. Philadelphia is based in Pennsylvania and the state has a GDP per capita of $61,269. Philadelphia is ranked 25th among the richest US cities by GDP per capita.
24. Sioux Falls, South Dakota
State GDP Per Capita: $61,599
Sioux Falls is the most populous city in South Dakota and has a population of 202,078. With South Dakota’s GDP per capita of $61,599, Sioux Falls ranks among the richest US cities by GDP per capita.
23. Portland, Oregon
State GDP Per Capita: $61,775
Oregon’s largest city, Portland has a total population of 2.22 million. Oregon has a GDP per capita of $61,775. Portland is one of the richest US cities by GDP per capita.
22. Des Moines, Iowa
State GDP Per Capita: $62,787
Des Moines is the capital of Iowa and has a population of 566,000. With Iowa’s GDP per capita of $62,787, Des Moines ranks 22nd among the richest US cities by GDP per capita.
21. Wichita, Kanas
State GDP Per Capita: $62,984
Wichita is a city in South Central Kansas with a total population of 539,000. Kansas has a GDP per capita of $62,984 and Wichita ranks among the richest US cities by GDP per capita.
20. Salt Lake City, Utah
State GDP Per Capita: $64,486
Salt Lake City is the capital and most populous city in Utah. Salt Lake City has a population of 1.20 million and Utah has a GDP per capita of $64,486. Ranked 20th on our list, Salt Lake City is one of the richest US cities by GDP per capita.
19. Manchester, New Hampshire
State GDP Per Capita: $65,338
Located on the Merrimack River in Southern New Hampshire, Manchester has a total population of 115,141. With New Hampshire’s GDP per capita of $65,338, Manchester ranks among the richest US cities by GDP per capita.
18. Minneapolis, Minnesota
State GDP Per Capita: $67,120
Minneapolis is a major city in Minnesota and has the most population, a total of 2.99 million people. Minnesota has a GDP per capita of $67,120. Minneapolis is placed 18th among the richest US cities by GDP per capita.
17. Houston, Texas
State GDP Per Capita: $67,255
Houston is one of the most populous cities in the US with a population of 6.70 million. Texas has a GDP per capita of $67,255 and Houston is one of the richest US cities by GDP per capita.
16. Cheyenne, Wyoming
State GDP Per Capita: $67,995
Cheyenne is the capital city of Wyoming having a population of 64,610. The GDP per capita of Wyoming is approximately $67,995 and Cheyenne ranks 16th among the richest US cities by GDP per capita.
15. Virginia Beach, Virginia
State GDP Per Capita: $68,050
Virginia Beach is a coastal city in Southeastern Virginia. The city has a population of 1.48 million and Virginia has a GDP per capita of $68,050. Virginia Beach is one of the richest US cities by GDP per capita.
14. Baltimore, Maryland
State GDP Per Capita: $68,361
Baltimore has a population of 2.35 million and Maryland has a GDP per capita of $68,361. Ranked 14th on our list, Baltimore is one of the richest US cities by GDP per capita.
13. Chicago, Illinois
State GDP Per Capita: $70,072
Chicago is one of the largest cities in the US and has a population of 8.93 million. Illinois has a GDP per capita of $70,072 and Chicago ranks among the richest US cities by GDP per capita.
12. Newark, New Jersey
State GDP Per Capita: $71,026
Newark is the most populous city in New Jersey with a population of 305,344. New Jersey has a GDP per capita of $71,026 and Newark is one of the richest US cities by GDP per capita.
11. Wilmington, Delaware
State GDP Per Capita: $72,064
Wilmington is a port city in North Carolina and has a population of 71,569. With Delaware’s GDP per capita of $72,064, Wilmington ranks among the richest US cities by GDP per capita.
10. Anchorage, Alaska
State GDP Per Capita: $72,600
Anchorage is the largest city in Alaska having a population of 287,145. Alaska has a GDP per capita $72,600. Anchorage is placed 10th among the richest US cities by GDP per capita.
9. Denver, Colorado
State GDP Per Capita: $73,328
Denver has a population of 2.93 million and Colorado has a GDP per capita of $73,328. Denver is one of the richest US cities by GDP per capita.
8. Omaha, Nebraska
State GDP Per Capita: $73,789
Omaha has a population of 860,000 and is one of the richest US cities by GDP per capita. Nebraska has a GDP per capita of $73,789.
7. Fargo, North Dakota
State GDP Per Capita: $74,327
Fargo is the most populous city in North Dakota having a population of 131,444. North Dakota has a GDP per capita of $74,327 and Fargo ranks among the richest US cities by GDP per capita.
6. Bridgeport, Connecticut
State GDP Per Capita: $78,430
Bridgeport is a major city in Connecticut and has the most population, a total of 961,000 people. Connecticut has a GDP per capita of $78,430. Bridgeport is placed sixth among the richest US cities by GDP per capita.
Click to continue reading and see 5 Richest U.S. Cities by GDP Per Capita.
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Disclosure: None. 25 Richest U.S. Cities by GDP Per Capita is originally published on Insider Monkey.