Economy of Idaho facts for kids
Idaho is a state in the United States with a busy and growing economy. In 2023, the total value of all goods and services produced in Idaho was about $118.8 billion. This is called the Gross State Product. The average income for each person in Idaho was about $59,035 that same year.
Idaho is very important for farming. It grows almost one-third of all the potatoes in the United States! Farmers in Idaho also grow different kinds of wheat.
Contents
Idaho's Main Industries
Idaho has many important industries that help its economy grow. These include making food, working with wood, building machines, creating chemical products, and producing paper. Electronics, mining for silver and other metals, and tourism are also big parts of Idaho's economy.
Food and Drink Production
Idaho is home to the world's largest factory for barrel cheese, which is used to make processed cheese. This factory is in Gooding, Idaho. It can make 120,000 metric tons of cheese each year! Idaho also has three facilities that make malt for breweries across the country.
Science and Technology
Today, Idaho's biggest industry is science and technology. This sector brings in over 25% of the state's money and makes up over 70% of its exports. Since the late 1970s, Boise has become a major center for making computer chips.
Key Tech Companies
Boise is where Micron Technology is located. This company is the only U.S. manufacturer of certain computer memory chips called DRAM. Hewlett-Packard also has a large factory in Boise that makes LaserJet printers.
Clearwater Analytics, a fast-growing company that helps manage investments, is also based in Boise. ON Semiconductor, with its main office in Pocatello, creates advanced computer chip products.
Outdoor Fun and Recreation
Outdoor activities are a big part of Idaho's economy. In winter, people enjoy snowmobiling and skiing at many resorts. The city of Lewiston is becoming a popular place for people to retire. This is because of its mild winters, dry climate, and calm winds. The rivers there offer many fun activities too.
Unique Manufacturing
Four of the world's six companies that make special welded aluminum jet boats (used for running river rapids) are found in the Lewiston-Clarkston area.
Other Important Businesses
Idaho has a variety of other businesses. For example, ATK Corporation runs three factories in Lewiston that make ammunition. There are also many small, award-winning wineries and microbreweries in northern Idaho.
Companies with Idaho Roots
Many large companies started in Idaho or have strong ties to the state. These include Safeway (started in American Falls), Albertsons (started in Boise), and the J. R. Simplot Company. Potlatch Corp. also has its roots in Lewiston. Even United Airlines and Continental Airlines have connections to air transport companies that started in this region.
Taxes in Idaho
Idaho has a state income tax that ranges from 1.6% to 7.8%. This means that a small part of the money people earn goes to the state. People can get tax credits for taxes they pay to other states or for donations to Idaho schools and some youth programs.
Idaho also has a sales tax of 6%. This tax is added to the price of most things you buy, rent, or lease. Food is taxed, but prescription medicines are not. If you stay in a hotel, motel, or campground, you pay a slightly higher tax (7% to 11%). The sales tax was first introduced in 1965 at 3%.
Small Businesses and the Lottery
In 2014, Idaho was ranked as the second most friendly state for small businesses, right after Utah. This shows that it's a good place for new businesses to start and grow.
Idaho also has a state gambling lottery. From 1990 to 2006, this lottery contributed $333.5 million to Idaho's public schools and higher education.
.jpg)
