The federal Bureau of Economic Analysis reported this week that personal income in Alaska rose by $1.3 billion to $45.5 billion in 2011. This equates to a 2.9% improvement on a per capita basis. That ranks Alaska as the 9th best out of the 50 U.S. states in per capita income. The 4th quarter of 2011 was the twelfth consecutive quarter of income growth in Alaska. Alaska’s per capita income of $45,529 was 9% larger than the U.S average of $41,663.
Personal income is tracked in three major categories. The largest improvement for Alaska in 2011 was from net earnings, which increased by $972 million. This measures the wages earned by workers, any supplemental company distributions and proprietor’s income. The second major income category to improve in Alaska was a $275 million increase from dividends, interest, and rental income. The final category is government transfer payments. This does not measure government workers, but rather payments from government programs where the beneficiary did not provide any service to earn the money. This increased by $69 million in 2011.
The report also details which sectors of the economy contributed the most to the growth of income in Alaska. Health Care added the largest amount to personal income in 2011, growing by $197 million. Professional, Scientific and Technical Services improved by $140 million, followed by Mining at $114 million, Military was up $99 million and Transportation and Warehousing added $75 million.
Two major sectors reported declines in total income in 2011. The Federal Government income was $10 million lower and Construction related income decreased by $62 million.
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