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The Latino Donor Collaborative (LDC), a prominent nonprofit organization dedicated to advancing economic research, has unveiled its much-anticipated 2023 Official LDC U.S. Latino GDP Report. Now in its sixth edition, the report offers a comprehensive analysis of the economic contributions of the U.S. Latino community, which is reshaping the nation’s economic landscape through population growth, high workforce participation, and increasing productivity linked to educational attainment.
“The 2023 LDC U.S. Latino GDP Report not only underscores the incontestable economic prowess of the U.S. Latino community but also foretells the future trajectory of our nation,” stated Ana Valdez, CEO and President of LDC.
The findings in the 2023 report reveal staggering statistics that underscore the significant impact of the U.S. Latino economy: the U.S. Latino GDP has reached an impressive $3.2 trillion, marking a 14% increase year-over-year and growing at 2.5 times the rate of its non-Latino counterpart. Additionally, Latino purchasing power is estimated at $3.4 trillion, while the total income of Latinos in the U.S. was $2.5 trillion in 2021, growing at a rate of 4.7% compared to just 1.9% for non-Latinos. If measured by GDP, the U.S. Latino economy would rank as the fifth largest globally, driven by a youthful demographic, robust labor force participation, increased educational attainment, and rising income levels.
The LDC has become a trusted source for insights and analysis regarding the economic impact of U.S. Latinos across various sectors, often cited by institutions like the Federal Reserve and Fortune 500 companies. This year’s report was produced in collaboration with Arizona State University’s L. William Seidman Research Institute, led by Director Dennis Hoffman and Research Economist Jose Jurado.
A key highlight of this year’s report is its detailed breakdown of the Latino economy across all 50 states for the first time. Notable findings include that California’s Latino economy would rank as the 21st largest in the world, while Texas holds the second position with a GDP of $465 billion, followed closely by Florida at $240 billion. Additionally, South Dakota has demonstrated remarkable growth, with an annual increase of 11.8%.
The report also emphasizes significant demographic shifts within the Latino community, revealing that the most common age range among Latinos is 10 to 14 years, in stark contrast to the 60 to 64-year range among non-Latinos, with the majority being under 25 years old. From 2010 to 2021, the Latino population surged, accounting for 52% of total U.S. population growth during that period, with a 24.1% increase among Latinos compared to just 4.3% for non-Latinos. Additionally, the share of U.S. households identifying as Latino increased from 11.6% to 14.4%.
In terms of educational attainment, the report highlights a positive trend, noting that between 2010 and 2021, the number of Latinos holding a bachelor’s degree or higher increased at an annualized rate of 6.8%, significantly outpacing the 2.8% growth among non-Latinos. This upward trajectory underscores the commitment of the Latino community to higher education and the increasing value placed on educational achievements within this demographic.
“The Official LDC U.S. Latino GDP Report is crucial for decision-makers across all industries who rely on data-driven analysis to reach new audiences, increase awareness, and drive sales,” Valdez noted. “Companies that overlook the U.S. Latino cohort do so at their peril.”
The collaboration between LDC and institutions like ASU and Notre Dame allows for expanded analysis and richer insights. Valdez emphasized the importance of understanding rapidly emerging Latino markets and providing valuable data for businesses, policymakers, and think tanks.
Sol Trujillo, chairman and co-founder of LDC and L’ATTITUDE, expressed excitement about the upcoming conference. “The power and influence of the U.S. Latino cohort give America a growth engine, unlike any other country in the world. We should celebrate that, but also continue using the LDC’s data to inform relevant economic decisions.”
The 2023 report is hailed as innovative, aligning with the broad intersection of changes in technology, education, demographics, and macroeconomics. “We look forward to hearing insights from L’ATTITUDE participants on how they will use this data to enact meaningful change,” Trujillo added.
Michael M. Crow, President of Arizona State University, emphasized the importance of the report for businesses and educational institutions alike. “The data reveals an unprecedented opportunity for us to adapt, innovate, and prosper alongside this demographic,” he stated.
The Latino Donor Collaborative (LDC) is an independently funded 501(c)(3) nonprofit organization dedicated to providing economic and business data through rigorous research and insights. Its reports serve as essential tools for resource allocators across the U.S., highlighting the growing economic opportunities arising from the contributions of U.S. Latinos.