Latinas are making significant contributions to the U.S. economy. The female Hispanic population contributed $1.3 trillion to the gross domestic product in 2021, up from $661 billion in 2010, as per a recent report funded by Bank of America. This represents a real GDP growth rate of 51.1% between 2010 and 2021, making their economic contribution 2.7 times that of the non-Hispanic population.
In 2021, the total output of U.S. Latinas exceeded that of the entire state of Florida, with only California, Texas, and New York surpassing them that year. Despite these substantial figures, some economists believe that U.S. Latinas could be contributing even more to the GDP than reported.
Belinda Román, an associate economics professor at St. Mary’s University, mentioned that there are activities, like child care, that may not be fully captured in the data. Economist Mónica García-Pérez also suggested that Latinas’ unmeasured contributions, such as providing care as stay-at-home moms, play a significant role in allowing other groups to participate in the labor market.
Latinas have shown higher labor force participation rates compared to other groups, with a 7.5 percentage point increase from 2000 to 2021. They have also demonstrated resilience, with positive labor force growth rates even during challenging times like 2020. Additionally, Latina GDP grew more than five times the rate of non-Latino GDP between 2019 and 2021.
The contributions of Latinas are particularly noteworthy considering the challenges faced by Latino households during the pandemic. The growth in labor force participation and educational attainment among Latinas has led to income gains, outpacing those of non-Hispanic women. Latinas have played a crucial role in bolstering the overall economic output of Latinos in the U.S.
The increasing importance of Latinas’ contributions to the U.S. economy is expected to continue over the coming decades. This trend reflects a significant shift in the economic landscape, with Latinas emerging as key drivers of economic vitality that the country needs.
