Georgia Economy: Atlanta as a Growth Engine

Georgia has one of the fastest-growing large state economies in the United States, usually ranked in the top ten by GDP — the dollar value of everything a place makes and sells in a year. The Georgia economy is shaped overwhelmingly by Atlanta, one of the most important business and transportation hubs in the South, but it also has a serious manufacturing, agriculture, and film sector outside the metro area.

This is a plain-English tour. For the national picture, see The State of the U.S. Economy and the Economy hub. For more on the metro at the center of it all, see Atlanta.

How big is the Georgia economy?

For example, recent state GDP for Georgia has run around $830 billion, according to the Bureau of Economic Analysis. Population is roughly 11 million, per the U.S. Census Bureau. The Atlanta metro area accounts for more than half the state's population and an even larger share of its economic output.

The biggest industries

Georgia's economy is broader than people sometimes assume. The main pillars are:

• Logistics and transportation — Hartsfield-Jackson Atlanta International Airport is one of the busiest airports in the world, and the Port of Savannah is one of the largest container ports on the East Coast.
• Film and television — Georgia's tax incentives have made it one of the largest film-production states in the country, behind only California and New York.
• Manufacturing — autos, aerospace, food processing, and paper products are all significant; Kia and Hyundai have major plants in the state.
• Agriculture — Georgia is a top producer of poultry, peanuts, peaches, and pecans.
• Finance and fintech — Atlanta is the largest payments-processing hub in the United States, with companies like NCR, Global Payments, and Equifax based there.
• Healthcare — major hospital systems and the Centers for Disease Control and Prevention (CDC) are headquartered in Atlanta.
• Tech — Atlanta has a fast-growing software and cybersecurity sector, anchored partly by Georgia Tech.

Jobs and wages

Georgia labor data is published by the Georgia Department of Labor, with national-level numbers from the Bureau of Labor Statistics. For example, Georgia's unemployment rate has typically run close to the national average, helped by the steady inflow of jobs and people into the Atlanta metro.

The Georgia minimum wage is set in state law at $5.15 per hour, but federal law overrides it for almost all workers, so the effective minimum is $7.25 per hour. Many Georgia employers — especially in Atlanta — pay well above that on their own.

Taxes in Georgia

Georgia has a flat state income tax with a relatively low rate. The state has been gradually lowering the rate over time. Atlanta and other cities do not charge a local income tax.

The state sales tax rate is 4%, with most counties adding 3% to 4% on top, putting the combined rate in most places between 7% and 8%. Property taxes are moderate by national standards, with a homestead exemption available for primary residences.

State tax forms and rules live at the Georgia Department of Revenue. You can read more about how sales tax works in our glossary.

Cost of living

Cost of living in Georgia runs slightly below the national average, but the picture varies. Atlanta proper has gotten more expensive, especially for housing close to the city. Smaller Georgia cities and rural areas remain very affordable. South Georgia housing in particular is among the cheapest in the country.

The federal government tracks region-specific Consumer Price Index data through the BLS Southeast region, and HUD publishes Fair Market Rents for every county at HUD User.

Atlanta as a growth engine

Atlanta is what makes Georgia's economic story unusual for the South. The metro's mix of corporate headquarters, the busiest airport in the country, a strong tech and fintech cluster, and Georgia Tech as a talent pipeline has attracted a steady stream of corporate relocations. Atlanta's tax-incentive-driven film industry has also created a long tail of related jobs in production, post-production, and equipment rental.

How does the Georgia economy fit into the national picture?

Georgia is one of the more diversified Sun Belt economies. It is not as energy-heavy as Texas, not as tourism-heavy as Florida, and not as government-heavy as Virginia. Instead, it has a balanced mix of logistics, manufacturing, finance, media, and services. Population has been growing steadily for years, with most of the growth in metro Atlanta.

A note on the numbers

Numbers in this article change every quarter — always check the latest from BEA, BLS, and the Georgia Department of Revenue for the most current data.