The Minnesota Index increased 0.2 percent for the seventh straight month in June. The U.S. Index increased 0.3 percent for the fifth month in a row last month. Minnesota’s index has lagged behind the U.S.index since February. Slower job growth during the first few months of the year slowed the Minnesota index. Minnesota’s index advanced 1.2 percent over the first half of the year compared to 1.5 percent advance for the U.S. index. Minnesota’s index increased 1.3 percent over the first half of 2013 while the U.S. index increased 1.7 percent.
Despite the lower readings during the first half of 2013 Minnesota’s real GDP increased 2.8 percent in 2013, significantly outpacing the 1.9 percent national increase. Private sector GDP growth in Minnesota was even stronger last year, climbing 3.1 percent compared to the U.S. private sector GDP gain of 2.3 percent. Minnesota’s real GDP expansion last year ranked 13th highest among the states. The Minnesota Index is a monthly proxy for the state’s economic growth but is subject to significant revisions as more reliable data becomes available.
See the feature article from the Minnesota Employment Review, May 2010, for more information on the Minnesota Index.