Miami City Review

MIAMI HIGHLIGHTS

Despite Miami's ever-growing tourism industry (1.5% more tourists arriving in Miami over 2015-2016) and business ties to the Latin American world, Miami's working population is not as productive as the rest of the US. In 2016, Miami's labour productivity (GVA per employee) was 16% lower than in the rest of the country.

Higher labour force participation rate offsets low labour productivity

In 2016, Miami boasted 7% higher annual household disposable income compared to the rest of the country. While Miami's low labour productivity does downplay the income advantage, a greater labour force participation rate (83% in Miami versus 74% in the rest of the country as of 2016) helps Miami accumulate a higher level of income.

High spending on hotels and restaurants

Consumer expenditure per household (excluding transport and housing) was 5% higher in Miami than elsewhere in the US in 2016. With Miami households spending 32% more on hotels and restaurants in 2016, this budget category allocated the biggest discrepancy between Miami and the rest of the country. This is driven by the fact that Miami has the highest number of restaurants per capita out of the US's 150 biggest cities.

Combined expenditure on housing and transport is almost the same as in the rest of the country

The combined expenditure on housing and transport in Miami is almost the same as in the rest of the country (USD27,900 total annual expenditure on housing and transport in Miami versus USD27,600 in the rest of the US, as of 2016). Separately, housing allocated 3.9% higher expenditure in Miami in 2016. However, the dropping purchase value of a square metre of real estate in Miami may change this soon.