A US$100B wealth migration tilts U.S. economy’s centre of gravity south – BNN Bloomberg
The numbers tell the story. For the first time, six fast-growing states in the South Florida, Texas, Georgia, the Carolinas and Tennessee are contributing more to the national GDP than the Northeast, with its Washington-New York-Boston corridor, in government figures going back to the 1990s. The switch happened during the pandemic and shows no signs of reverting.
A flood of transplants helped steer about US$100 billion in new income to the Southeast in 2020 and 2021 alone, while the Northeast bled out about $60 billion, based on an analysis of recently published Internal Revenue Service data.
The Southeast accounted for more than two-thirds of all job growth across the U.S. since early 2020, almost doubling its pre-pandemic share. And it was home to 10 of the 15 fastest-growing American large cities.
Corporations are also flocking there, with a record number of firms moving south after the pandemic, Census Bureau data show.
This surprises me for once.