Cibola County vs. New Mexico Comparative Trends Analysis: Per Capita Personal Income Growth and Change, 1969-2022 Introduction Cibola County: 2022 PCI = $34,184 2022 Percent of State = 65.49% New Mexico: 2022 PCI = $52,194 Per Capita Income (PCI) is one of the most widely used indicators for gauging the economic performance and changing fortunes of local economies. It is used as a yardstick to assess the economic well being of a region's residents and the quality of consumer markets. It serves as a barometer for calibrating the economic performance of a region over time and to judge differences in relative economic prosperity between regions. Shifting trends in local per capita income growth have important social and political ramifications and significant implications in formulating local economic development strategies and initiatives. Data Definition: This measure of income is calculated as the total personal income of the residents of an area divided by the population of the area. Per capita personal income is often used as an indicator of consumers' purchasing power and of the economic well-being of the residents of an area. Personal income is measured as a flow throughout the year, while the measurement of population is at one point in mid-year. Therefore, per capita income is distorted if a significant change in population occurs during the year. For smaller counties in particular, per capita income in any given year may be exceptionally high or low for the short run because of unusual local conditions, such as a bumper crop, a catastrophe, or a major construction project as the building of a dam or nuclear power plant. Farm incomes are notorious for being especially volatile year-to-year, owing to changing weather, commodity market conditions, and alterations in government programs. Therefore, the per capita income of farm-dependent counties may exhibit sharp fluctuations over time. The presence of large institutional populations--such as residents attending a local college or the residents of a local prison or state mental institution--can significantly lower the per capita income estimates of an area. Such results may not reflect the relative economic well being of the non-institutional population and may mislead if care is not given to their interpretation. Cibola County Per Capita Personal Income, 1983-2022 Current vs. Constant Dollars Figure 1. Figure 1 depicts Cibola County's annual per capita personal income over 1983-2022 in current and constant (2017) dollars. Constant dollar measurements remove the effects of inflation. They allow for comparison of changes in the real purchasing power of Cibola County over time. When measured in current dollars, Cibola County's per capita personal income increased 413.97%, from $6,651 in 1983 to $34,184 in 2022. When measured in constant 2017 dollars to adjust for inflation, it advanced 106.73%, from $14,249 in 1983 to $29,458 in 2022. Real Per Capita Personal Income, 1982-2022 Figure 2. Figure 2 traces Cibola County's and New Mexico's annual real per capita personal income for the period 1982-2022 to illustrate real per capita personal income patterns over time. During this 41-year period, Cibola County's real per capita personal income rose from $14,729 in 1982 to $29,458 in 2022, for a net gain of $14,729, or 100.00%. In comparison, New Mexico's real per capita personal income advanced from $22,946 in 1982 to $44,978 in 2022, for a net advance of $22,032, or 96.02%. Real Per Capita Personal Income Indices (1982=100): 1982-2022 Figure 3. Figure 3 shows Cibola County's real per capita personal income growth in a broader context by offering direct comparisons across time with New Mexico, the United States. The growth indices shown here express each region's real per capita personal income in 1982 as a base figure of 100, and the real per capita personal incomes in later years as a percentage of the 1982 base figure. This method allows for more direct comparison of differences in real per capita personal income growth between regions that may differ vastly in size. Cibola County's overall real per capita personal income growth was 100.00% over 1982-2022 outpaced New Mexico's increase of 96.02%, and fell below the United States' increase of 110.67%. Per Capita Personal Income as a Percent of the U.S. Average: 1982-2022 Figure 4. Figure 4 displays the trends for per capita personal income relative to the national average by tracing Cibola County and New Mexico per capita personal income as a percent of the national average over 1982-2022. In 1982, Cibola County's per capita personal income amounted to 55.00% of the national average; in 2022, it approximated 52.21%. Similarly, in 1982, New Mexico's per capita personal income totaled 85.68% of the national average; in 2022, it consisted of 79.72%. Cibola County Real Per Capita Personal Income: Annual Percent Change, 1983-2022 Figure 5. Figure 5 displays the short-run pattern of Cibola County's real per capita personal income growth by tracking the year-to-year percent change over 1983-2022. The average annual percent change for the entire 40-year period is also traced on this chart to provide a benchmark for gauging periods of relative high--and relative low--growth against the backdrop of the long-term average. On average, Cibola County's real per capita personal income grew at an annual rate of 1.80% over 1983-2022. The county recorded its highest growth in 2020 (12.33%) and recorded its lowest growth in 2022 (-5.13%). In 2022, Cibola County's real per capita personal income declined by -5.13% Cibola County Real Per Capita Personal Income: Annual Percent Change and Decade Averages Over 1983-2022 Figure 6. Over the past five decades some counties have experienced extreme swings in growth, and often such swings have tended to coincide with the decades themselves. Figure 6 again shows the annual percent change in Cibola County's real per capita personal income since 1983, but this time they are overlayed with average growth rates for the decade of the 1990s, 2000s, 2010s, and 2020-2022. During the 1990s, Cibola County's annual real per capita personal income growth rate averaged 2.14%. It averaged 2.73% in the 2000s, 0.67% during the 2010s, 2.86% thus far this decade (2020-2022). Real Per Capita Personal Income Growth: Average Annual Percent Change by Decade Figure 7. Figure 7 compares the decade average growth rates for Cibola County noted in the previous graph with the corresponding decade averages for New Mexico and the nation. As the chart reveals, Cibola County's average annual real per capita personal income growth exceeded New Mexico's average in the 1990s (2.14% vs. 1.67%), led New Mexico's average during the 2000s (2.73% vs. 2.17%), fell below New Mexico's average during the 2010s (0.67% vs. 1.23%), and led New Mexico's average over the 3 year period of the current decade, 2020-2022 (2.86% vs. 2.65%). Finally, relative to nationwide real per capita personal income growth trends, Cibola County surpassed the nation over the 1990s (2.14% vs. 2.01%), led the nation over the 2000s (2.73% vs. 1.10%), posted below the nation over the 2010s (0.67% vs. 1.97%), and exceeded the nation over 2020-2022 (2.86% vs. 1.78%).
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