I’ve lived in the Indy suburbs for 34 years, 80 miles away from Johnny Cougar Mellencamp’s hometown of Seymour, IN. These songs were published in 1983 and 1985, VERY early warning signs of the rapidly growing gap between rural and urban America.

Let’s take a look at 2020 per capita income levels for the 92 counties in Indiana.

Indiana per capita income was $51,900, now just 87% of the US average of $59,500.

In 1970, Indiana per capita income was indistinguishable from the national average: $3,020 versus $3,119 (nominal/current dollars). Indiana was the 18th highest rated state, leveraging its manufacturing prowess, highly productive agriculture, central logistics location, proximity to Chicago and ports on the Great Lakes and the Ohio River.

In 2020, just 5 Indiana counties had per capita incomes above the US average. 87 had lower levels. In just 2 generations, nearly the whole state had moved from a proud “average American” level to well below average.

In 2020, only 11 of Indiana’s 92 counties earned 90% of the national average. Just 41 of 92 Indiana counties earned even 80% of the national average.

The distribution of per capita income levels within Indiana expanded. In 2020, just 13 of 92 counties were “above average” compared with the Indiana average, which was already 13% below the national average.

Indianapolis suburban counties Hamilton and Boone averaged $80,000 of per capita income in 2020, far above the US and Indiana averages. No other Indiana counties averaged as much as 80% of this level. Just 4 others reached 70% of this aspirational level: $56,300. Only 11 of 92 counties earned two-thirds of the wealthy suburban level at $53,600. 39 of 92 Indiana counties had per capita incomes above 60% of the suburban winners.

Income distribution matters within counties and across counties. The increasing disparity in incomes is driving American politics.

https://www.bea.gov/data/income-saving/personal-income-county-metro-and-other-areas