AKA the “We Started As A Prison” State
Originally set up as a place for Britain to dump it’s people that couldn’t pay off their debts (now there’s a plan!), the colony never really materialized in this fashion. 4th to ratify the Constitution and one of the original 7 to secede from the Union, Georgia has a storied history.
Georgia is also the largest state east of the Mississippi and has a number of rivers flowing to the Atlantic. This made agriculture and shipping both very important to Georgia’s early economy. Agriculture remains an important contributor to the state’s economy. Much of their output is of the following: poultry & eggs, pork, pecans, peaches (duh), peanuts, cattle & dairy, tobacco, and veggies. But they of course do more. I’m a huge fan of all of those things except tobacco, but I respect someone’s rights to participate in the destruction of their lives.
Speaking of which, Georgia is also big in the manufacturing of cigarettes. The industry dates back to colonial times, and has seen a new surge in demand in the last decade as developing powers like China and India have embraced the habit. If you own S&P 500 indexes, then this is good news for you. Before you bash smoking , this is one of the few industries that still funnels money BACK into this country. I like to pretend it’s the government’s secret plan to destroy the health of China. Give Georgia credit for having one of the last remnants of a textile and clothing manufacturing industry. They also have a strong base for food processing, paper & chemical products, and electric & transportation equipment. These industries are energy intensive, and Georgia uses a lot of it. 75% of their usage is strictly from coal, making them one of the biggest polluters in the country. All this industry does add up to make Georgia a certifiable blue collar state.
But don’t think Georgia is just a state of hicks, farmers, and Joe the whatevers (they got them though). If you haven’t heard, Georgia is home to some of the most well known and respected schools in the country. Auburn, Georgia, Georgia Tech, and Emory all produce some seriously smart people. Many of them stay in Georgia, making it a hub for all kinds of business. Nowhere is this more so than in Atlanta. ATL is one of the ten largest metro areas in the country. Over 750 of the Fortune 1000 companies have a presence in the city. Among them, the following companies and subsidiaries call Atlanta home: Arby’s, Chik-fil-A, Hooters, Coca-Cola, ING Americas (personal favorite), AT&T Wireless, CNN, Georgia Pacific, SunTrust Banks, Delta Airlines, and Cox Enterprises. Cox owns a number of radio stations and newspapers. They also have some TV channels, including the Travel Channel.
As if that isn’t enough, other areas of the state serve as homes for some other big companies: Home Depot, Rubbermaid, UPS, Aflac, and Waffle House. All this talk about the food industry in this state is making me hungry.
The economy doesn’t even stop there. The government is a big spender in any economy, and their presence in Georgia is felt. The Center for Disease Control (CDC) sits right next to Emory in Atlanta, but it’s the military that really has a statewide footprint. At least a dozen different forts and bases from the various branches are spread around the state, making Georgia a primary launch point for southeastern military operations.
Finally, like New Jersey, North Carolina, and California, Georgia benefits from having both mountains and beaches within its borders. Tourism is very important to Georgia’s economy. Between the ocean and mountains you’ll find many sporting clubs like the Atlanta Falcons and Atlanta Braves that bring an enormous amount of cash into the state’s economy. I can’t help but mention a number of celebrities call Georgia home, and their mentioning of home through their exposure to the public has brought Georgia some additional fame. Notably, Paula Dean of the Food Network has increased tourism in her town of Savannah, and too many rappers to name constantly speak of living in the ATL.
If Georgia were to secede from the Union today and become its own country, it would have the 28th largest GDP in the world.
England may have intended Georgia to be a colony for debtors, but as you can see it has one of the strongest economies in the country. Many states that were supported by agriculture have trouble branching out into other industries. Georgia is a perfect example of the diverse economy. With good climate, beaches and mountains, and such a strong economy it’s no wonder they are doing so well.
Updated – Auburn is in Alabama as the commenter below pointed out.
 By The Weakonomist |
The Weakonomist is the founder of Weakonomics. Clicking the picture of the puppy will tell you more about him. If you like what you're reading consider subscribing to the blog, following him on Twitter, and checking out the related posts below. Please consider a donation if you really enjoy Weakonomics. Also keep in mind that nothing I say can be construed as financial advice. |
