Newest GDP Report highlights growing impact of Latinos to the American economy
The Latino Donor Collaborative released its latest U.S. Latino GDP Report during the 2021 L’ATTITUDE Conference on Sept. 29.
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Latinos in the United States are making a huge positive impact on the American economy.
During the first day of the 2021 L’ATTITUDE Conference on Sept. 29, the Latino Donor Collaborative officially released the 2021 U.S. Latino GDP Report, an annual report that calculates the total economic contribution of U.S. Latinos, shows where the U.S. Latino economic output rates compared to the world’s major countries and economies, and the rate at which it has grown over the years.
In a word, the Latino GDP can be described as “extraordinary.”
According to the 2021 LDC U.S. Latino GDP Report, the total economic output of Latinos in the United States was $2.7 trillion in 2019 (the most recent year in which data is available), an increase from $2.1 trillion in 2015 and $1.7 trillion in 2010.
Based on its GDP alone, if Latinos in the U.S. were an independent country, it would be tied for the seventh largest GDP in the world — tying it with France, and surpassing the GDPs of Italy, Brazil and Canada.
Sol Trujillo, co-founder of L’ATTITUDE, said these numbers represent why L’ATTITUDE — the business-based national initiative focused on discussing the Latino impact on the U.S. economy — was created in the first place.
“We created the conversations based on the facts and data,” he said.
The data shows the impact of the U.S. Latinos is vast, paramount, and should be noted.
With the 2020 U.S. Census revealing an increasingly diverse population, including the Hispanic population, it is likely the impact of the community will continue to grow, as well.
The report further pinpoints that level of growth.
Over the past two years, the growth of real Latino GDP averaged 5.63%, doubling the rate of the broader U.S. economy.
In addition, real Latino GDP has grown 57% faster than the real U.S. GDP and 70% faster than non-Latino GDP since 2010.
From 2010 to 2019, the U.S. Latino GDP was the third-fastest growing among the 10 largest GDPs, while the broader U.S. economy ranks fourth.
The U.S. Latino GDP’s top industry sectors are:
- Education & Healthcare ($446 billion or 16.4% of the U.S. Latino GDP)
- Professional & Business Services ($327 billion or 12% of the U.S. Latino GDP)
- Finance & Real Estate ($252 billion or 9.3% of the U.S. Latino GDP)
“Latinos are the driver of U.S. economic growth and they go where jobs go,” said Matthew Fienup, Chief Economist at the Center for Economic Research & Forecasting.
“Latinos are providing the workforce and engine to economic growth,” added Ana Valdez, Executive President of the Latino Donor Collaborative.
However, the largest component of that GDP is personal consumption.
Standing at $1.85 trillion in 2019, U.S. Latinos represent a consumption market that is nearly identical in size to the entire economy of Texas.
“There’s a lot of upside opportunity,” said Monica Lozano, Lead Independent Director for Target Corporation’s Board of Directors. “And when a report like this comes out, it’s easy to make the argument that says the opportunity is with the Latino Market.”
Each year this report is released represents another realization about the growing contributions and impact U.S. Latinos are having on the overall U.S. economy.
To access the full 2021 LDC U.S. Latino GDP Report, click here.