Little Rock, Big Business: A Guide to the Arkansas Capital’s Economy

While the economy is improving in many ways, economists say the pandemic’s consequences are still being felt. While economists can make projections based on data, the virus’s ambiguity may cause those predictions to be inaccurate. Arkansas is expected to add 20,000 jobs this year, according to some estimates. People are leaving small-business positions in favor of large-business jobs. Wages are increasing, but not at the same rate as inflation.

Women in Arkansas continue to be disproportionately affected by pandemic-related childcare issues, such as daycare closures and quarantines. In 2021, fourteen percent of mothers with children under the age of six quit their careers due to childcare, compared to five percent of males. In terms of a global outlook, vaccines will “win” the war against COVID-19 this year.

The wholesale (automobiles, farm products, mining materials) and retail (department shops, discount stores, grocery stores) service industries are the most important in Arkansas. Wal-Mart, the world’s largest discount retailer, is headquartered in Bentonville. Continue reading for an overview of Little Rock’s economy.

Livestock & Crops

Broilers and young chicks sold as chicken parts or complete chickens are the most major animal products produced in Arkansas. Cattle and calves account for around 8% of the state’s livestock output. Cotton, grain corn, and wheat are the five most valued crops in Arkansas.

Increase in labor participation

When the number of persons generating goods and services rises—often as a result of population growth—production rises as well. One reason for the country’s slow economic growth is that the labor force participation rate is hovering at 63 percent, a 40-year low.

Increased labor specialization & trade

It’s one of the reasons why education reform is critical. When people exchange their money for goods and services, they create a mutually advantageous exchange that, when replicated across the economy, boosts growth and prosperity. More exchanges will occur if regulation, tariffs, and trade obstacles are reduced.

Arkansas is consistently ranked among the top five cheapest states to live in. The cost of living in Arkansas is based on research findings. A cheap cost of living can alleviate a variety of financial issues. Cost savings can be found in groceries, utilities, and transportation. Little Rock houses for sale the state’s median home cost is approximately half of the national median home cost.

When it comes to the total cost of living, you’ll appreciate the inexpensive property taxes. This is significant if you want to buy a house because certain states have extremely high tax rates. You can expect to pay less in Arkansas than the national average. Property taxes in the state are the sixth lowest in the country. The median tax rate is around 0.063 percent, and most people pay less than $800 in taxes each year. Of course, it depends on your precise location, as each municipality sets its own taxes, as well as how much land you own, but you should never be surprised when you receive your tax bill.

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