West LA Times

The U.S. Latino GDP has reached a new high of $4.1 trillion, according to a report from UCLA and Cal Lutheran researchers. This economic output positions the U.S. Latino GDP as the fifth-largest in the world, surpassing notable economies such as India, the United Kingdom, and France.

The report, the eighth annual release from the UCLA Center for the Study of Latino Health and Culture and Cal Lutheran’s Center for Economic Research and Forecasting, documents a rapidly growing contribution from Latinos. Between 2019 and 2023, the growth of the Latino GDP outpaced other major world economies, including China's, even amid the challenges of the COVID-19 pandemic.

David Hayes-Bautista, a UCLA professor and co-author, notes this as a "growth spot" for the national economy. He highlighted the progression of Latino contributions from $1.6 trillion in 2010 to $2.8 trillion in 2019.

Matthew Fienup, another co-author from Cal Lutheran, emphasized, "Now surpassing the extraordinary milestone of $4 trillion, the U.S. Latino GDP illustrates just how vital Latino strength and resilience are for the nation’s economy."

Despite initial concerns at the onset of COVID-19, the Latino GDP has recovered faster than the overall national GDP, according to Hayes-Bautista. The study attributes this rapid growth to various factors, including health, education attainment, consumer spending, income, and labor force participation.

The report provides specific highlights, such as a 125.3% increase in Latinos achieving bachelor's degrees or higher between 2010 and 2023. Latino consumption reached $2.7 trillion in 2023, positioning Latino buying power as larger than Texas's entire economy.

Latinos have consistently contributed to the labor force, adding an average of 726,000 workers annually from 2010 to 2023 and accounting for 58.7% of U.S. labor force growth in that period.

Health improvements also played a role. By 2023, COVID-19 was no longer a leading cause of death among Latinos, and Latino life expectancy neared pre-pandemic levels, reinforcing what Hayes-Bautista termed the "Latino healthy lifestyle advantage."

Overall, the U.S. Latino GDP was the third-fastest growing among the top 10 global economies from 2010 to 2023, growing 2.7 times faster than the non-Latino national GDP.

"A growing GDP benefits all Americans by providing for a higher standard of living, increased opportunities for socio-economic mobility, and improved wages and salaries," Fienup stated. He further mentioned that the contributions of Latinos will continue to benefit all Americans.

In its 29th edition, the report sheds light on the significant economic impact of the Latino population across various regions, complementing recent efforts with in-depth publications on specific segments, including the first Latina GDP report.