7 Reasons why Louisiana is so poor


Louisiana is considered one of the poor states in the U.S., and it has been for quite some time. The state has a high poverty rate and a low per capita income, and its economy is largely based on agriculture. Much of this poverty can be traced back to the state’s history – Louisiana was once a slave state, and the legacy of slavery continues to play a role in its economy today. Below are Reasons why Louisiana is so poor.

Reasons why Louisiana is so poor

1. Geography

One of the factors that contribute to Louisiana’s poverty is its location. The state is bounded by the Gulf of Mexico on the south and east, Texas on the north and west, and the Mississippi River on the north. These physical boundaries make it difficult for Louisiana to develop economically because it has to compete with other states for resources. Additionally, the geography of the state makes it susceptible to natural disasters. For example, Hurricane Katrina struck Louisiana in 2005 and caused significant damage.

Louisiana History

Another reason why Louisiana is poor is its history. The state has been through a lot of change and turmoil, which has led to weak economic institutions. For example, during the Civil War, most of the infrastructure was destroyed and this led to a lack of development opportunities. Additionally, during Reconstruction following the Civil War, white Southerners were displaced from their homes and businesses and this also caused economic instability.

The reason for Louisiana’s poverty is also due to a long history of discrimination against African Americans, as well as other groups. This discrimination has caused many businesses and workers in Louisiana to leave, which has decreased the state’s GDP. Additionally, the state has not invested in its economy since the 1960s, which has also caused its poverty rate to increase.

2. Struggling Economy

Louisiana’s economy is one of the poorest in the country. The state ranks 41st in per capita income and has a median household income of only $29,522. Louisiana’s high poverty rate and low educational attainment rate contribute to its economic problems. The state also has a high unemployment rate, with over 10% of the population unemployed. The workforce is also aging, which will add to unemployment concerns in the future.

Louisiana’s low economic status is due in part to its severe fiscal problems. The state has a large debt burden and weak public sector capacity. Structural factors, such as the decline in manufacturing and the loss of jobs in the oil and gas industry, have also played a role in Louisiana’s economic woes.

There are some encouraging signs for the economy in Louisiana. Inflation is low and the state has been able to reduce its budget deficit recently. Additionally, private-sector investment is rising, which could lead to more jobs growth in the future. However, much work still needs to be done to turn around Louisiana’s economy.

Also Read // Reasons NOT to move to Louisiana

3. Political issues

Louisiana is one of the poorest states in America. There are many reasons for this, but one of the biggest is that Louisiana has a very poor political system. The state has a lot of political parties and none of them are very strong. This makes it difficult to get things done, and it takes a long time to get things approved by the legislature. Louisiana also has a lot of corruption, which means that it’s hard to get things done in the state government.

4. Lack of education and economic opportunities

Louisiana is one of the poorest states in the U.S. The main reason for this is the lack of education and economic opportunities. Louisiana has one of the lowest literacy rates in the country and a low GDP per capita. This means that there are not enough jobs available to young people, and they have to move away in order to find work. Additionally, Louisiana’s economy is dominated by agriculture, which has been declining for years due to global competition and problems with pests and diseases. This has caused a lot of jobs to disappear, and poverty rates to rise.

5. Lack of affordable healthcare

The state ranks last in the nation in terms of both health and quality of life, according to a report by the Commonwealth Fund. Louisiana residents have to contend with some of the highest healthcare costs in the country. The state also has one of the lowest rates of health insurance coverage. In fact, only about one-third of residents are covered by an employer-sponsored health insurance plan. This leaves many Louisianans without proper access to affordable healthcare.

One reason for the high cost of healthcare in Louisiana is the state’s reliance on private insurers rather than government programs. This system drives up costs because it rewards companies that offer high-cost plans, and it encourages insurers to cherry-pick healthier patients to insure. Louisiana also has a shortage of doctors and nurses, which makes it difficult to provide quality care.

6. High crime rate

Louisiana has a high crime rate, which is likely due to its poor economic conditions. The state has been struggling for years to recover from the Great Recession, and its economy remains relatively weak. This has led to a high level of crime, which in turn has caused a decline in the state’s economy.

There are not enough jobs available, and the population is not educated enough to find good jobs. The crime rate is also high because there are a lot of gangs in Louisiana.

7. Low population growth

Louisiana is the poorest state in the country. Population growth has slowed down significantly over the last few decades, which has led to a decrease in jobs and an increase in poverty. One of the main reasons for this is that Louisiana has a low population density. This means that there are a lot of empty spaces, which makes it difficult for businesses to thrive. Additionally, the state doesn’t have a lot of natural resources, which means that it’s difficult to create jobs in the agriculture sector.


Louisiana is one of the poorest states in the United States and has been for many years. The main reasons for this are its high unemployment rate, low business investment, and low population growth. These factors have combined to create a state that is struggling financially. If you’re looking to start your own business or move to Louisiana, be prepared for an uphill battle.

Related Article // Living in Provo Utah as a Non Mormon | All you need to know! 2022

Leave a Comment

Your email address will not be published. Required fields are marked *