The outdoor recreation industry has become a national engine for economic impact, accounting for $1.2 trillion in economic output nationwide in 2023—representing roughly 2.3% of the United States’ GDP and totaling the GDP of the Netherlands altogether. Employing over 5 million people, the outdoor recreation industry accounts for 3.1% of the national workforce. Taking all components of the industry into consideration, the outdoor recreation economy drives a larger economic impact than farming, mining and utilities, but can often be overlooked as such.

When evaluating the size of this impact on a state-by-state level using data from the Bureau of Economic Analysis, it becomes easier to compare outdoor recreation’s share of state economies across the country. Outdoor recreation’s share of the economy is largest in Hawaii at 6.3%, but the data additionally shows clear regional patterns of economic impact across the country.

Rocky Mountain Highs

Of the 15 states with the highest rates of economic impact drawn from outdoor recreation, nine are either Rocky Mountain states or fall west of the Rockies. These Western states are home to world-famous natural wonders, laying the groundwork for their successful outdoor recreation industries, but smart policies and public-private investments take them to the next level. 

Utah, for example, has relied heavily on snow sports as a cornerstone of its economy for decades, and in 2023 snow sports became the state’s largest economic driver, with Utah’s industry even ranking third nationwide. This was due in part to state and private investments in infrastructure, sustainability efforts and business ventures like participation in the Ikon and Epic ski passes. In late 2024, Ski Utah announced further investments, adding 14 additional ski lifts at Utah resorts coupled with the state’s $550 million plan to build a gondola to help skiers avoid traffic between Salt Lake City and prime resorts. Paring public and private investment with a state’s natural geography and terrain to boost outdoor recreation and tourism is a strategy that can be capitalized on by any state, not just those with Rocky Mountains or Sierra peaks. 

Controlling the Controllable

On average, the outdoor recreation industries of the heartland add 2.3% to the economic value of their respective states—about average nationally speaking. Indiana has the largest heartland outdoor recreation rate at  3.2%—only about half that of the national leader, Hawaii. 

While the Heartland may not be the national leader in the outdoor industry, a handful of heartland states are generating increased economic impact in their own corners of the outdoor recreation industry through enacting smart policies and leveraging opportunity. 

Reaching Their Peaks

Data provided by the Bureau of Economic Analysis grants insights into the economic impact generated by the outdoor recreation workforce in each state. Here, Louisiana and Indiana rank second and third nationally, generating around $164,000 and $150,000 in value per worker per year, respectively, far outpacing the national average ($122,000) and trailing only Washington state ($185,000). Further, five of the ten highest performing states in the nation are heartland-based, despite heartland states accounting for only 40% of the country. 

National Numbers Are Not the Only Guide

When analyzing the impact of outdoor recreation on state economies, it is critical to evaluate both national, macro-level data, as well as nuanced state and local data, which can often reveal different narratives about the health or growth of the outdoor recreation industry. 

Few states find themselves more firmly planted at this crossroads than Texas, which, despite leading the nation in economic value added through hunting, shooting and trapping, is experiencing a decrease in the percentage of the population participating in these sports. The decrease in participation could be attributed to several factors, from Texas’ third-highest population growth rate in the US to younger generations’ relative lack of participation in hunting. 

Without looking deeper and applying state-specific data and trends to their realities, policymakers might be blinded by the state’s $55.8 billion in economic value added and do nothing to address the decline in participation in their strongest outdoor recreation activities. The stakes are real in Texas, as economic gains from hunting and fishing fund the Texas Department of Parks and Wildlife as well as being a significant contributor to the Texas economy. 

Handling Strengths and the Cycle of Success

Few states in the heartland have capitalized on outdoor recreation through effective policies and public-private partnerships quite like Arkansas. In 2022, cycling was responsible for contributing $159 million in economic impact to the state (up 16% from the previous year) as well as an additional $59 million in avoided health care costs. 

Public-private partnerships helped create over 500 miles of bike trails as well as parks like Fayetteville’s Centennial Park across Northwest Arkansas, drawing professional sporting events such as the U.S. Pro’s Cup and the tourists who come to watch these athletes compete.

Understanding the state’s relative advantage in cycling, Governor Sarah Sanders and Arkansas legislators introduced legislation in February of this year laying the groundwork for bringing lift access downhill mountain bike parks to Arkansas. The legislation seeks to capitalize on an industry Arkansas has consciously built into a true economic driver—a strategy other heartland states can follow:

“With continued investment, Arkansas can become a model for sustainable economic development and employment opportunities that capitalize on the natural beauty of the heartland.” –Cass Crews, Research Director for Talent Pipeline, Heartland Forward 

What It Means for the Heartland

While the heartland may not have the peaks or arches that draw outdoor enthusiasts to other parts of the nation, through conscious policy efforts, private investments and effectively capitalizing on regional outdoor recreation activities, the heartland is building an impactful outdoor economy of its own. Understanding national, state and local data on the growth of certain outdoor activities can be an effective tool for heartland states to leverage as they decide how best to invest in the growing outdoor industry. Whether it be capitalizing on growing interest in hiking or camping, or working to help younger generations engage in activities like fishing and boating, the heartland’s great outdoors have both opportunity and adventures to offer.