The economic engine of Pennsylvania’s Latino population rivals that of some world nations.
A new study ranks the economic output by Pennsylvania’s Latino population among the top 10 highest among states.
Moreover, the U.S. Latino Gross Domestic Product is in line with the fifth largest economy in the world, according to the study by the Latino Donor Collaborative, a non-profit organization that specializes in research on Latino issues.
Nationwide, Latinos in 2021 generated a $3.2 trillion economic output, rivaling that of countries like Germany and India.
In Pennsylvania, the Latino economic engine neared about $50 billion dollars, just behind that of Georgia, New Jersey and Illinois.
“Our Commonwealth is home to over a million Latinos who make Pennsylvania a richer and more vibrant place every day,” said Olga Negron, executive director of the Governor’s Latino Affairs Commission. “Their growing economic footprint is just one example of the important impact Latinos have in our Commonwealth and across our country.”
In fact, there are almost 1.1 million Latinos in Pennsylvania – the fastest growing ethnic group. The Latino population in the state is comparatively young: the median Pennsylvania resident is 41 years old; the median age of a Latino Pennsylvanian is 27.
The so-called 222 Corridor, which gets its name from Route 222, and encompasses Easton, Bethlehem, Allentown, Lancaster, Lebanon, York, Harrisburg and Gettysburg – is home to more than 50% of the state’s Latino population.
“It’s abundantly clear that if we want to grow our economy and strengthen our communities, we must continue to expand opportunities for Latinos,” Negron said. “Gov. Shapiro knows this – and it is why he is working to create jobs and make Pennsylvania a leader in economic growth.”
The Census Bureau estimates there were roughly 64 million Latinos in the U.S. in 2022 – totaling 19% of the nation’s population.
According to the study, the top-10 states with the highest economic contribution by Latinos ranked in order are: California, Texas, Florida, and New York with Latino Gross Domestic Incomes of $682 billion, $465 billion, $240 billion, and $186 billion respectively. The Latino economy in California alone is comparable to the world’s 21st largest economy, between Poland and Switzerland.
Pennsylvania ranks among the states where the Latino population has grown quickly over the past decade, ranking alongside Georgia, Washington and Ohio. Even as the pandemic hit Latino communities disproportionately harder than others, the U.S. Latino buying power and economic output grew by more than 14% in the past few years, the study showed.
“A major trend today is that global economic growth is slowing, due in large part to the effects of the Chinese economy,” Sol Trujillo, CEO of the Latino Donor Collaborative said in a letter released with the study this week. “So the big question is, ‘Where is the opportunity today for improved margins and sustained growth for the next few decades?’ The answer is, the U.S. Latino cohort, which is the 5th largest economy in the world embedded inside the United States of America.”
Other key findings in the study include:
- Latino income in the U.S. amounted to $2.5 trillion
- Latino purchasing power measured $3.4 trillion
- Income among Latinos grew at a real annualized rate of 4.7% compared to 1.9% for non-Latinos
In the workforce:
- Out of 1.6 million new jobs in Florida, Latinos filled 58% of the total
- Latinos in Texas occupied 1.2 million out of 2 million new jobs
- A staggering 87% of the new jobs in California were filled by Latinos
- In Washington, a hub for cutting edge tech, Latinos filled 160,000 new jobs (out of a total of 480,000)
- In Arizona, Latinos filled 60% of 520,000 new jobs
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