This chart shows per capita real personal income for each New England state indexed to the national average. Dividing a state’s total personal income by its population yields per capita personal income. Indexing this value to the U.S. figure illustrates the average economic well-being of state residents relative to the nation as a whole. If the ratio is greater than one, then the state’s residents on average receive more income than the average U.S. individual, while the opposite holds true for states with values less than one.

Per capita personal income has been higher in New England than the United States since World War II. However, this pattern is not uniform for the six states. Currently, Connecticut has one of the highest personal incomes per capita in the nation, while Maine remains significantly below the national average. Per capita personal income does not account for the distribution of income within a state. It is important to note that per capita personal income does not account for cost of living differences between states, a major determinant of the relative economic well-being of a state’s residents. Nor does it reflect changes in prices over time. Real Personal Income--another chart in this series--adjusts the nominal personal income in each period for the change in price levels.