Colorado

Colorado: diversification trend

Colorado was the 11^th best performing state in the EPI state rankings, with the EPI score of 90.9%, or B- level, in 2014.  While the state had low unemployment and GDP growth, it still had above US average inflation and budget deficit, which negatively affected state’s EPI score.

Mining is still the major driver of Colorado's economy, while the state has been diversifying its economic attention towards other industries like aerospace and renewable energy. International firms like telecommunication giants Siemens and Vodafone, have invested and built facilities in the state. Broadcasting and telecommunications contribute roughly 5% of the state’s GDP, with Dish Network’s headquarters located here. While this industry has a high influence on the local economy, it accounts for only 2% of the state’s non-government workforce.

The unemployment in Colorado was 4.9% in 2014, well below the national average, explaining why people are moving to the state and the population is growing. This has helped Colorado maintain GDP growth of almost 4% in 2013, while it fell to 2% in 2014. The state government’s budget deficit is about 4.3%, after the inclusion of federal transfers. Regional inflation was above the US average at 1.9% in 2014.