U.S. Latinas are increasingly becoming an economic force, their contribution to the GDP amounting to $1.3 trillion in 2021, a more than 50 percent growth since 2010, according to a new report. The figure is larger than that of the entire economy of Florida.
The study, titled "Dando vida a la economia" (Giving Life to the U.S. Economy) was led by professors at California Lutheran University and UCLA's Center for the Study of Latino Health & Culture and funded by Bank of America. Researchers compiled publicly available data from major U.S. agencies, as well multiple State and Metro Area Latino GDP reports to get a deeper understanding of the economic impact Hispanic women have over the country's economy.
"U.S. Latinas coming of age and entering the U.S. labor force are overwhelmingly second- and third-generation Americans," said Dr. Hayes Bautista, who led the research at UCLA Geffen School of Medicine. "These daughters and granddaughters of immigrants are combining the extraordinary and selfless work ethic of their elders with rapid growth of human capital to give life to the U.S. economy."
The report pointed at key economic factors that have propelled the Latina momentum. For instance, between 2010 and 2021, the number of Hispanic women holding a Bachelor's degree grew 103 percent, compared to 38.3 percent growth in non-Hispanic women.
During this period of time, Latinas' overall income grew by 46 percent, compared to 18.5 percent for Non-Hispanic women. There was also significant income growth for both Hispanic males and females, with Latinas leading the charge at a 3.5 percent growth rate compared to 3.3 percent for their male counterparts.
"This research reveals that Latinas outpace their gender and ethnic peers in key economic measures," said professor Matthew Fienup, Ph.D., Executive Director of the Center for Economic Research and Forecasting, in a press release. "It reveals that Latinas are drivers of much-needed economic vitality for the nation."
According to the report, the total economic output of Latinas in 2021 was larger than the entire economy of the state of Florida, and would place fourth after GDPs of California, Texas and New York.
The growth is supported largely by the large amounts of Latinos entering the workforce, with growth for the demographic being "9 times faster than Non-Latino labor force growth." "U.S. Latino GDP growth is 2.4 times faster than Non-Latino GDP, reads a passage of the report."
Concretely, Latinas' labor force participation has grown by 7.5 percentage points over the past two decades, while that of Non-Hispanic females remained mostly flat. Their income has also outgrown their counterparts, showing a 46 percent increase, compared to 18.5 percent, 2.5 times more.
"Given the remarkable growth of the U.S. Latina GDP and other important trends outlined in this
report, we expect that Latinas will continue to enjoy substantial growth premiums and provide
greater vitality, giving life to the economy, dando vida a la economía, for the foreseeable future," the report concludes.
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