Study shows Kentucky among the poorest states

KENTUCKY (FOX 56) — States are not created equal regarding gross assets, the Chamber of Commerce found in a new study.

To determine wealth disparity between each state, the Chamber of Commerce used six variables to rank them by “richness”: real per capita personal income, per capita consumption expenditures, poverty rates, state and local general revenue, per capita spending, and the amount a resident must make to be considered the top 5%.

“The results are telling, with regional clusters appearing at the top, middle, and bottom of the ranking. However, there are a few surprises, and you might be interested to find out where your state falls on the list,” the Chamber of Commerce team wrote.

According to the Chamber of Commerce, the poorest states in the nation are clustered in the southern region.

“8 of the top 10 poorest states are located in the South, as well as 12 of the top 15,” the study reads.

Kentucky is among the 10 poorest states, ranking 45th for wealth nationwide and tying with West Virginia.

“These states are characterized by paltry numbers across the board in all variables, including low real per capita incomes, low per capita state spending numbers (with the exception of West Virginia), and poverty rates significantly above the US average,” the Chamber of Commerce explained.

The poorest states in the U.S.

1. Mississippi, District of Columbia
2. Alabama
3. Louisiana
4. Idaho
5. South Carolina
6. Kentucky, West Virginia
7. Arizona
8. Arkansas
9. Oklahoma
10. Georgia

The wealthiest states in the U.S.

1. Connecticut
2. Massachusetts
3. New York
4. Alaska
5. New Jersey
6. North Dakota
7. Maryland
8. Hawaii
9. Wyoming
10. Minnesota

Half of the top 10 wealthiest states in the nation are clustered in the northeast, and no northeastern states appeared in the bottom 20. Its lowest being Maine, which ranked 30th.

“Significant characteristics of wealthy Northeastern states include a high per capita income, a low poverty rate, and a high average state revenue per capita,” the chamber of commerce noted.

Further, the study found that the state’s poverty rates typically correlated with its ranking.

“Of the 10 states with the highest poverty rates, 8 are among the top 10 poorest states, while the remaining 2 are among the top 15 poorest,” the study read. “The correlation is less strong for the 10 states with the lowest poverty rates, but nevertheless present: 4 of them are among the 10 richest states, while an additional 2 belong to the top 15 richest states.”

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