| The Bureau of Economic Analysis | | | | market in the state. |
| estimates that Minnesota's total state | | | | Energy use and production A fair amount |
| product in 2003 was $211 billion. Per | | | | of ethanol alcohol fuel is produced in |
| capita personal income in 2004 was | | | | the state, and a 10% mix of ethanol into |
| $34,861, 8th in the nation. The average | | | | consumer gasoline has been mandated |
| household income in 1999 was | | | | since 1997 (as of January 2006, |
| approximately $48,000, ranking eighth in | | | | Minnesota is the only U.S. state with |
| the nation (U.S. | | | | such a mandate). 20% ethanol will be |
| Census Bureau). The county averages | | | | mandated in 2013. A 2% biodiesel blend |
| range from $17,369 (Todd County) to | | | | has also been required in diesel fuel |
| $42,313 (Hennepin County, a portion of | | | | since 2005. Many farmers also now |
| the Metro area). In general, salaries | | | | operate wind turbines to produce |
| are lowest in more rural areas, | | | | electricity, particularly in the windy |
| particularly in the northwest portion of | | | | southwest region. As of January 2005, |
| the state. | | | | the state is the country's |
| The state is a major food producer for | | | | fourth-largest wind energy producer |
| the country and has a number of natural | | | | after California, Texas, and Iowa, with |
| resources that have been greatly | | | | 615 megawatts installed and an |
| exploited in the last two centuries. | | | | additional 213 MW planned. |
| Major industries and products The Twin | | | | Like many Midwestern states, Minnesota |
| Cities are home to a diverse range of | | | | is heavily dependent on natural gas for |
| major businesses, including Cargill, 3M | | | | home heating. Just over two-thirds of |
| Co. (formerly Minnesota Mining and | | | | homes use the fuel. The state does not |
| Manufacturing Co.), Northwest Airlines, | | | | produce any petroleum of its own but |
| Target Corporation, U.S. | | | | boasts the largest oil refinery of any |
| Bancorp, TCF Financial Corporation and | | | | non-oil-producing state, the Pine Bend |
| TCF Bank, Medtronic, Ecolab, Best Buy, | | | | Refinery. One of the longest pipelines |
| Cray Computers, Imation, International | | | | in the world, the Lakehead Pipeline, |
| Dairy Queen, Regis Corporation, General | | | | also traverses northern Minnesota. Most |
| Mills, Polaris Industries and a regional | | | | of the petroleum used in the state comes |
| headquarters of Wells Fargo & Co., | | | | from Canada and the northwestern United |
| Caterpillar Inc., Honeywell, and | | | | States. |
| Thrivent Financial for Lutherans (the | | | | State taxes Minnesota has 3 brackets of |
| merged entity of the former Aid | | | | income tax rates, ranging from 5.35 |
| Association for Lutherans and Lutheran | | | | percent to 7.85 percent. The sales tax |
| Brotherhood). The city of Rochester is | | | | in Minnesota for most items is 6.5 |
| the headquarters of the Mayo Clinic, and | | | | percent. The state does not charge sales |
| has a significant manufacturing presence | | | | tax on clothing, services (massages, |
| in International Business Machines. The | | | | haircuts, auto work, and the like), or |
| largest shopping mall in the United | | | | food items for home consumption, |
| States, the Mall of America, is located | | | | excluding some specific items such as |
| in Bloomington. The Schwan Food Company, | | | | candy or soft drinks. |
| headquartered in Marshall, Minnesota, is | | | | According to state law, "Candy does not |
| one of the largest, branded frozen-food | | | | include any preparation containing flour |
| companies in the United States and the | | | | and must require no refrigeration." |
| second-largest privately held | | | | (Minn Stat 297A.61 Subd 33). The state |
| corporation in Minnesota. | | | | also imposes a use tax on items |
| Hormel Foods Corporation is | | | | purchased elsewhere but used within |
| headquartered in Austin, Minnesota, it | | | | Minnesota. |
| is a leading producer in meat products. | | | | Minnesota property owners pay property |
| The state has been a major influence in | | | | tax to their county. Three factors that |
| the area of transportation, moving | | | | affect the tax bill are: the amount the |
| products along the Mississippi River, in | | | | local governments spend to provide |
| and out of the inland seaport of Duluth, | | | | services to the community, the estimated |
| along railroads that crisscross the | | | | market value of the property, and the |
| state, via highways with trucking and | | | | classification of the property (how it |
| busing companies, and through the air | | | | is used). |
| with a major airline hub. However, | | | | Minnesota businesses and individuals |
| water- and rail-borne traffic has been | | | | paid an average of 11.8% of their income |
| declining steadily over the years. | | | | in state and local taxes in 1998, down |
| A large proportion of the state's | | | | from 12.7% in 1996 (Minnesota Department |
| economy is still agricultural, even | | | | of Revenue). The Gross State Product was |
| though only a small percentage of the | | | | just under $173 billion in 1999 |
| population (around 2%) consider | | | | (Northeast Midwest Institute), with |
| themselves to be farmers. Minnesota is a | | | | approximately $17.5 billion in exports |
| leading US producer of sugar beets, | | | | in 2000. |
| soybeans, and corn. Additionally, | | | | Retail sales per capita were $10,260 in |
| northern Minnesota is a source for iron | | | | 1997, higher than the U.S. average of |
| ore (in the form of taconite) and wood | | | | $9,190 (U.S. Census Bureau). The "retail |
| products, though these are both | | | | capitol" of the state is probably the |
| declining industries. Hibbing is the | | | | Twin Cities suburb of Roseville, which |
| site of one of the world's largest open | | | | recorded $14,870 per capita (though it |
| pit mines. | | | | is easily outstripped in total revenue |
| The agricultural community is also | | | | by Minneapolis, St. Paul, Bloomington, |
| strongly tied to the renewable energy | | | | and Edina). |