As threatened last week, we’ll look now at the personal income among the 92 counties of Indiana. We’ll try to keep on track by focusing on just three counties: Blackford, which is very small, but not the smallest nor the most desperate of our counties, Dubois which is home to our Governor, and Morgan, home to the Speaker Pro Tem of the Senate, scion of one of Indiana’s most persistent political families.
In Dubois County, 73% of personal income is derived from employment in the county (12th highest in the state) compared to 40% in Blackford (74th) and 30% in Morgan (88th).
Hence, Dubois is proud of its “self-sufficiency” while Morgan recognizes it dependency on funds derived by commuting to Marion and other nearby counties. Dubois gets only 8% (90th) of its personal income from sending residents out to bring back earnings from elsewhere.
Morgan County, however, derives 47% (2nd) of its personal income from these daily commuting journeys. Blackford does not have the opportunities of a large generator of jobs and income on its borders, but does manage to get 28% (50th) of its income via commuting.
The reverse flows are indicative of the regional relationships of each county. Dubois exports twice as many dollars via commuting as it brings in. By contrast, Blackford exports only about one third as many dollars as it imports. Morgan County only “loses” 8% of the earnings it produces to commuting.
Blackford suffers from a weak economy in Grant County while Morgan has benefited over decades from two four lane highways and now has two interstates connecting to Marion County, its airport and growing employment base. Dubois, however, feels slighted by not having any advanced highway within its boundaries.
Given these conditions, Blackford requires more than a third of its personal income (2nd highest in the state) in the form of retirement payments (Social Security and other pension programs of the federal government) to sustain its economy. That’s about double the share of personal income (18%--80th in the state) needed in Dubois County and the 22% required by Morgan (62nd).
What prospects are there for growth or diversification in counties where major portions of income are paid out to retired persons?
Perhaps the most distinguishing factor in these data is the income derived from investments . Dubois County leads the state with 25%of its income originating as dividends, interest and rents. This is a population with the means, history, and discipline to invest.
That 25% figure is double what is found in either Blackford or Morgan counties. Clearly, Blackford is not faring well. Morgan thrives only on its proximity to Indianapolis and the other suburban beneficiaries of that city’s economy. Dubois has been a success story, but can it meet the challenges of this century without stimulation?
Is Indiana prepared to think about these issues?