The U.S. Census Bureau has released its latest report showing the median income of various states across the country. With a $65,028 median income, New Hampshire heads the list followed closely by New Jersey. Washington trails in at 10th place with a median income of $58,404, ranking last among the 10 wealthiest states in the U.S. The report takes the income over the past two years into consideration.
The Census Bureau report has revealed one interesting fact. Four of the states that make it to the top 10 most wealthy states list are located in the Northeastern part of the country. The money seems to be all concentrated here if one is to look at the statistics.
In striking contrast, the South has most of the 10 lowest income states. North Dakota residents have cause for celebration because this is the state with the best percentage improvement in median income. On the downside, Hawaii posted one of the biggest income declines.
When compared with the previous report, it is clear that not many states show much headway in terms of increasing their median income levels. Only a dozen have shown some improvement in the income, when the current report is compared with the earlier one showing the median income for the two year period ranging over 2006 and 2007.
One aspect to keep in mind when considering these figures is that the report does not take into account the difference in costs in various states. This is a factor that does affect the income levels to a great extent because it determines what the resident can buy with his income. Given that the same commodities, products, services cannot be bought in North Dakota and New Jersey with the same number of dollars, it is evident that income levels will be in line with costs in each specific state.
This fact may balance out the difference in income levels to some extent especially when comparing a low cost state with one like Manhattan where prices are sky high. The statistics should be seen in light of this fact to get a more accurate picture of the state of affairs.
For instance, the report’s findings that Mississippi, Arkansas and West Virginia make up the three poorest states in the U.S. may also indicate that these are cheaper places to live in when compared with business like Connecticut or Manhattan. However, it is also important to keep in mind that these low cost of living places are also the ones where poverty rate in highest.