Illinois Has the 15th-Worst State Economy in 2026

Some states contribute a lot more to the U.S. economy than others. For example, California, Texas, New York and Florida have economies so large that if they were countries, they would rank in the top 20 in the world. Living in one of these states might help boost your financial prospects.

“A strong state economy doesn't guarantee success for the state's residents, but it certainly makes financial success more attainable,” said WalletHub analyst Chip Lupo. “Factors like a low unemployment rate and high average income help residents purchase property, pay down debt and save for the future. The best state economies also encourage growth by being friendly to new businesses and investing in new technology that will help the state deal with future challenges and become more efficient.”

In-Depth Look at Illinois

The Prairie State's economy is strong in some areas because the state has fair wages and its businesses produce valuable commodities. It has the seventh-highest median household income, adjusted for the cost of living. It also has the 13th-most valuable exports per capita.

Some parts of the Illinois economy are weaker, though. For example, the state's residential housing supply is growing at the third-slowest rate in the country. In addition, it has the third-largest shortfall in funding for public pension plans per capita.

Many factors play into how strong a state's economy is, and the study analyzed 28 different metrics grouped into three main categories.

How Illinois Ranks in Key Categories

• 27th for economic activity
• 50th for economic health
• 26th for its innovation potential

Overall, Illinois ranks 37th in the country in WalletHub's study.

Best State Economies

The methodology can be found on the full version of the article on WalletHub.