U.S. personal income grew 6.3 percent in 2006, the strongest annual growth rate so far in the economic expansion which began in December 2001, according to preliminary estimates released Tuesday by the U.S. Bureau of Economic Analysis.
The Southwest region enjoyed the fastest growth, 8.3 percent up from the 7.7 percent in the previous year, and the Great Lakes region saw the slowest growth, 4.8 percent up from the 4.0 percent in 2005, said the report.
The contrast between the two regions reflects a mining boom in the Southwest and employment losses in auto manufacturing in the Great Lakes.
All but 11 states enjoyed an acceleration in personal income growth. Louisiana's 19.4 percent growth following an 8.7 percent decline in 2005 was the most impressive. The wide swing in its growth rate reflects the consequences of the property lost in two hurricanes and the state's subsequent recovery.
Inflation, as measured by the national price index for personal consumption expenditures, was 2.8 percent in 2006, down from 2.9 percent in 2005.
Meanwhile, U.S. per capita income grew 5.2 percent in 2006, up from 4.2 percent growth in 2005. Connecticut led the nation with a per capita income of 49,852 dollars, which is 37 percent above the national average.