John Lettieri, President and CEO of Economic Innovation Group | Official Website
John Lettieri, President and CEO of Economic Innovation Group | Official Website
Among Louisiana’s parishes, Iberia saw the largest increase in transfer dependency over the past 10 years, surging 13.4% from 19.9% in 2012 to 33.3% in 2022, and up 23.9% from just 9.4% in 1970. In dollar terms, government transfers per capita in Iberia jumped from $9,692 in 2012 to $15,005 in 2022, a stark contrast to the $1,473 recorded in 1970.
East Carroll followed with the second-largest increase in transfer dependency, increasing 13% from 29.7% in 2012 to 42.7% in 2022, and an overall increase of 24.3% from 1970’s 18.4% transfer dependency. This trend is reflected in per capita amounts, with residents of East Carroll receiving an average of $15,358 in transfer income in 2022, up from $13,403 in 2012 and more than double the $1,473 recorded in 1970.
Additionally, Franklin had the highest percentage of income derived from government transfers, at 43.4% in 2022, making it the parish with the highest overall transfer dependency. Morehouse and East Carroll followed closely behind, with transfer dependency rates of 43.1% and 42.7% in 2022, respectively.
Compared to 1970, Franklin increased by 25.5%, while Morehouse and East Carroll have increased by 27.6% and 24.3%, respectively, showing sustained reliance on government transfers. Residents in Franklin received an average of $16,856 in transfers per capita, with Morehouse and East Carroll close behind at $18,324 and $15,358, respectively.
For comparison, the statewide average was 23.9% in 2022, showing a higher dependency than the national average of 17.6%. On a per capita level, this translates to $13,019 per resident in 2022, compared to $11,542 nationwide.
Government transfer payments are non-repayable funds provided by federal, state, or local governments to support individuals in need. These payments aim to stabilize economic conditions and provide financial support during hardships. Key programs include Social Security transfers (retirement benefits), Medicare transfers (healthcare for seniors), Medicaid transfers (healthcare for low-income individuals), and income maintenance transfers (financial assistance for basic needs).
In Louisiana, reliance on government transfers was just 9.2% (or $1,727 per capita in inflation-adjusted 2022 dollars) in 1970. This has since increased to 23.9% (or $13,019 per capita) in 2022, reflecting a total increase of 14.7% since 1970. This shift is largely influenced by increased healthcare costs, and economic transformations that have reshaped income sources across the U.S.
In 2022, the primary government transfer programs in Louisiana included:
- Social Security: $3,537 (27.2% of total transfers)
- Medicare: $3,080 (23.7% of total transfers)
- Medicaid: $3,476 (26.7% of total transfers)
- Income Maintenance Programs: $1,667 (12.8% of total transfers)
With 16.8% of the population aged 65 and older, Louisiana has a significant demand for programs like Social Security and Medicare. However, counties with higher poverty rates also show elevated Medicaid and income maintenance participation.
Government transfers have long been a modest financial safety net, historically comprising only a small fraction of Americans' income. However, since the 1970s—sometimes dubbed the “Great Transfer-mation”—dependency has surged from 8.2% (or $2,022 per capita in inflation-adjusted 2022 dollars) in 1970 to 17.6% (or $11,542 per capita) in 2022 nationwide. In Louisiana, reliance on government transfers has similarly increased from 9.2% (or $1,727 per capita) in 1970 to 23.9% (or $13,019 per capita) in 2022, reflecting broader national trends.
According to the Economic Innovation Group’s analysis, these trends are not merely short-term responses to economic pressures but rather reflect a profound, long-term transformation in how government support is integrated into American life. The study illustrates that structural shifts—from rising healthcare expenses and demographic changes to stagnant wages—have significantly increased dependency on government transfers.
Parish | Dependency on Transfers (%) | Change Since 2012 | Change Since 1970 | Per Capita Amount (2022) | Per Capita Change Since 2012 | Per Capita Change Since 1970 |
---|---|---|---|---|---|---|
Acadia | 31.4% | 9.8% | 18.4% | $14,320 | $4,997 | $12,497 |
Allen | 30.8% | 5.7% | 15% | $13,073 | $4,146 | $10,819 |
Ascension | 15.5% | 3.1% | 6.9% | $9,385 | $2,713 | $7,949 |
Assumption | 24.5% | 4.8% | 12.4% | $13,683 | $4,140 | $11,997 |
Avoyelles | 36.5% | 8.8% | 16.9% | $16,037 | $4,169 | $13,622 |
Beauregard | 27.3% | 7.2% | 16.4% | $13,800 | $4,471 | $11,876 |
Bienville | 39.6% | 7.1% | 22.9% | $17,874 | $5,199 | $15,512 |
Bossier | 22.2% | 4.8% | 16% | $11,828 | $3,368 | $10,602 |
Caddo | 26.3% | 7.1% | 17.4% | $15,176 | $5,123 | $13,255 |
Calcasieu | 22.8% | 3.2% | 14.2% | $11,739 | $2,672 | $10,111 |
Caldwell | 40.2% | 8.3% | 20.4% | $15,997 | $4,272 | $13,377 |
Cameron | 15.9% | 3.3% | 10% | $9,999 | $3,583 | $8,970 |
Catahoula | 41.1% | 11.3% | 26.4% | $17,732 | $5,974 | $15,959 |
Claiborne | 33.7% | 6.7% | 17.7% | $14,823 | $3,976 | $12,539 |
Concordia | 38.4% | 10.6% | 27.2% | $16,057 | $4,823 | $14,298 |
De Soto | 26.8% | 4% | 11.4% | $14,217 | $4,001 | $11,838 |
East Baton Rouge | 19.6% | 4% | 13.5% | $11,761 | $3,411 | $10,422 |
East Carroll | 42.7% | 13% | 24.3% | $15,358 | $1,955 | $13,163 |
East Feliciana | 32% | 5.7% | 16.2% | $15,064 | $3,622 | $13,002 |
Evangeline | 37.8% | 7.8% | 18% | $15,203 | $3,583 | $12,775 |
Franklin | 43.4% | 9.5% | 25.5% | $16,856 | $4,514 | $14,628 |
Grant | 32.6% | 5.8% | 16.3% | $12,165 | $3,166 | $9,828 |
Iberia | 33.3% | 13.4% | 23.9% | $15,005 | $5,313 | $13,532 |
Iberville | 28.1% | 4.9% | 14.5% | $14,642 | $4,507 | $12,583 |
Jackson | 34.6% | 4.9% | 20.1% | $14,573 | $3,398 | $12,342 |
Jefferson | 21.8% | 5.4% | 17.4% | $12,765 | $3,734 | $11,731 |
Jefferson Davis | 26.4% | 3.9% | 14% | $12,797 | $3,278 | $10,985 |
Lafayette | 18.9% | 6.8% | 12% | $11,165 | $3,640 | $9,898 |
Lafourche | 22.9% | 7% | 16.4% | $11,981 | $3,676 | $10,897 |
LaSalle | 35.4% | 8% | 19.2% | $13,234 | $2,962 | $10,948 |
Lincoln | 23.4% | 2.5% | 12.8% | $11,065 | $2,798 | $9,434 |
Livingston | 20.3% | 3.9% | 10.5% | $9,979 | $2,556 | $8,393 |
Madison | 40.9% | 12.7% | 23.5% | $17,304 | $6,632 | $14,997 |
Morehouse | 43.1% | 10.4% | 27.6% | $18,324 | $4,849 | $16,023 |
Natchitoches | 29.4% | 3.2% | 13.1% | $14,449 | $3,992 | $12,204 |
Orleans | 20.8% | 4.8% | 11% | $12,788 | $3,945 | $10,609 |
Ouachita | 28.8% | 5.5% | 17.8% | $13,535 | $3,631 | $11,720 |
Plaquemines | 19.6% | 5.8% | 13.6% | $10,876 | $3,598 | $9,754 |
Pointe Coupee | 25.9% | 4.5% | 11.4% | $14,816 | $4,566 | $12,797 |
Rapides | 30.1% | 4.8% | 18.7% | $16,215 | $3,784 | $14,154 |
Red River | 30.5% | 3.2% | 13.7% | $16,548 | $5,669 | $13,694 |
Richland | 37.8% | 8% | 22.2% | $16,703 | $4,702 | $14,446 |
Sabine | 33% | 5.1% | 12.1% | $15,494 | $4,775 | $12,863 |
St. Bernard | 28.1% | 6.2% | 22.5% | $11,760 | $4,046 | $10,641 |
St. Charles | 19.2% | 5.9% | 12.1% | $11,044 | $3,718 | $9,711 |
St. Helena | 31.7% | 2% | 17.8% | $14,326 | $1,300 | $12,724 |
St. James | 23.7% | 5.2% | 14.2% | $14,829 | $5,213 | $13,284 |
St. John the Baptist | 31.7% | 12.1% | 23.2% | $14,491 | $5,400 | $13,193 |
St. Landry | 34.9% | 8% | 18.6% | $16,632 | $4,596 | $14,670 |
St. Martin | 29.6% | 10% | 15.9% | $13,284 | $4,320 | $11,549 |
St. Mary | 32.5% | 11.6% | 25.5% | $15,189 | $5,036 | $13,982 |
St. Tammany | 16.1% | 2.1% | 8% | $11,834 | $3,213 | $10,199 |
Tangipahoa | 29.2% | 3.8% | 13.2% | $13,872 | $3,028 | $11,669 |
Tensas | 39% | 12.6% | 21.4% | $18,406 | $6,142 | $16,085 |
Terrebonne | 28.6% | 11.8% | 22.8% | $13,890 | $5,291 | $12,875 |
Union | 33.7% | 6% | 17.3% | $16,487 | $5,319 | $14,191 |
Vermilion | 27.5% | 9.3% | 15.7% | $12,891 | $4,300 | $11,204 |
Vernon | 25.6% | 8.4% | 21.8% | $12,174 | $4,340 | $11,105 |
Washington | 41.7% | 6.9% | 29% | $17,245 | $4,401 | $15,217 |
Webster | 34.3% | 6.7% | 22.4% | $17,045 | $5,076 | $14,898 |
West Baton Rouge | 19.8% | 3.3% | 8.7% | $10,863 | $2,681 | $9,218 |
West Carroll | 41.5% | 7.7% | 25.1% | $17,114 | $4,845 | $14,961 |
West Feliciana | 19.3% | 3.7% | 9.9% | $8,823 | $2,711 | $7,753 |
Winn | 30.6% | 3.3% | 13.1% | $14,528 | $3,554 | $12,124 |