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Everything is bigger in Texas, including its economy. And it’s not just because more people are moving there.
If population growth is excluded and Texas is generating thousands of dollars more per resident than it did just three years ago.
That kind of growth matters politically. It points to rising living standards, a stronger tax base and greater leverage to fund infrastructure, education and other priorities without raising taxes. The Texas success story offers Republicans a clear example to argue that low taxeslight regulation and strong energy production generate real economic advantages, not just demographic turnover.
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A rider waving the American flag participates in the opening of a county fair and rodeo on October 23, 2025. (Jakub Porzycki/Anadolu/Getty Images)
These advances are clearly shown in the data. The Lone Star State saw a 10.1% increase in per capita economic output from 2021 to 2024, according to calculations using the Bureau of Economic Analysis and U.S. Census figures.
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In dollar terms, Texas boosted economic output per resident from about $64,000 to nearly $71,000. Even states with much larger economies, including Californiadid not see the same growth per person, and California’s rose much more modestly, from about $80,000 to $84,000.
Examining resident growth helps distinguish economies that are truly strengthening from those that are simply growing. Texas falls firmly in the first camp, weakening the argument that its rise is simply a demographic mirage.
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Governor Greg Abbott laughs as he arrives during a bill signing at the state Capitol on April 23, 2025 in Austin, Texas. (Brandon Bell/Getty Images)
Even within the fast-growing Sun Belt, Texas outperforms its peers as Florida and Arizona, which also benefit from migration but posted lower gains per resident.
That distinction has political weight for 2026.
With the midterm election cycle approaching, Texas’s per-capita gains give Republicans a concrete way to argue that their policy mix generates stronger growth as Democrats push for a larger federal role.
Everything may be bigger in Texas, but the data suggests its economy is getting stronger, too.
