The Growing Economic Impact of Latinas in the US
Latinas earn 51 cents for every dollar that white non-Hispanic men make
The economic power of Latinas in the United States has surged by over 51% since 2010, now surpassing the economies of all but three states. Despite earning just 51 cents for every dollar that white non-Hispanic men make, Latinas are emerging as a major force in the U.S. economy, contributing significantly to its growth.
In 2022 the GDP of US Latinos reached $3.6 trillion, growing faster than many global economies.
If U.S. Latinos were an independent nation, they’d have the fifth largest economy in the world for the second year in a row.
Much of this growth is driven by Latinas, whose economic output in 2021 reached $1.3 trillion, larger than the economy of Florida. From 2010 to 2021, Latina GDP grew 1.2 times faster than that of Hispanic men and 2.7 times faster than non-Hispanics.
Raquel González, President of Bank of America Silicon Valley, described Latinas as a “force to reckon with,” noting their strong purchasing power despite wage disparities. However, wage inequality still costs Latinas $32,070 per year, limiting opportunities for education, homeownership, and retirement savings.
New Mexico State Treasurer Laura Montoya emphasized that wage disparities hurt states like New Mexico, which has the highest Latino population in the country. Yet, the growth of Latina GDP shows the potential for economic expansion if more resources are directed to address these gaps.
Latinas' rising economic influence presents a huge opportunity for the U.S. economy. Addressing wage gaps and improving access to financial resources could unlock even more growth.