Economy Analysis

New Jersey’s Output and Income Lackluster in Q1

  • Real GDP growth rate of .8% well under nation’s 2.1%. There was a similar gap for the growth of income.

The first quarter of 2026 saw poor results for New Jersey’s state GDP and personal income. The real GDP growth rate was a meager .8%, compared to the national number of 2.1%. There was no special area of weakness; New Jersey industries generally grew more slowly than in the nation as a whole.

A similar story prevailed for personal income. The income of New Jersey residents rose at a 2.3% annual rate, while the national figure was 3.4%. The most critical part of personal income is “net earnings” (the compensation paid to resident workers, plus the earnings of noncorporate business). That rose at only a 1.8% annual rate in New Jersey, vs. the nation’s 3.1%.

Recommended Posts

Commentary

Sherrill’s first NJ budget was new. The process wasn’t

Gov. Mikie Sherrill promised New Jerseyans a different approach to governing. Her first budget reflected the priorities of a new administration. But while the budget was new, the…

Commentary

NJ’s state budgets spur our spiraling affordability crisis

As New Jersey enters the final stretch of its budget process, policymakers in Trenton face a familiar temptation: close gaps, fund short-term priorities and declare success —…

Analysis

New Jersey Labor Market Continued to Improve in April

Unemployment rate moved down to 4.8%–its fourth straight drop. Job count rose 5,600, though numbers of sectors shed jobs, and followed a downward revision to…