West Texas Drives Huge Portion Of State’s Booming Economy

The State of Texas has, for the fourth year in a row, been named America's Top Business Climate, and as the eighth-largest economy in the entire world, this shouldn't come as a surprise to anyone.

In a recent announcement from Texas Governor Greg Abbott, he touted the state's economic strength, saying it's made possible by the pro-business mindset and massive number of expansion projects.

You can see the full report of how Texas climbed in the rankings to maintain its lead from the Site Selection website.

How Strong is West Texas' Economy?

The strength of Texas' economy is not a one-region feat. In fact, West Texas carries a very sizable portion of the entire state's economy thanks to the oil and gas industry.

Did you know, according to the Texas Comptroller's Office, that if West Texas were its own state, it would have the fifth-highest per capita income in the entire nation?

Midland and Ector Counties do a lot of the heavy lifting for the region given their strong economic centers. Check out the list of billion-dollar employers in Midland County, ranging from Costco and Chevron to several oil & gas production companies.

How Are West Texans Spending Their Money?

So, with all this money being generated in West Texas, how are we spending it?

Looking at data gathered from the Texas Economic Development Corporation, we see that the labor force of West Texas is made up of over 15,839,000. The most common occupation in this region is administrative support at 12.44% followed by sales (11.81%), executives and managers (11.2%), and then construction (7.56%).

Here's another icebreaker: 61% of West Texas' workforce is made up of white-collar workers vs. the 38% blue collar.

Also, a testament to how important small business is to West Texas, 62.4% of the region's businesses only hire between 1-4 employees.

When it comes to income and spending, the average West Texas household makes roughly $72,741.

Funny enough, the average household expenditures far outweigh the average income at $93,759. Here's how that money is spent, on average:

• $6,317 - Health care
• $6,888 - Groceries
• $14,117 - Transportation
• $17,082 - Housing costs
• $20,971 - Taxes and retirement plans

So, the next time Texas' booming economy comes up, just remember that West Texas is one of the top players. Just look at the stats!