We tend to hear about the benefits of eating local products. We are told that eating natural is better for your health, helps you lose weight, gives you energy, and makes you feel all around better. But how often do you hear about the economic benefits of eating local?
According to the Bureau of Labor Statistics (BLS), of the 310 million people in the U.S., on average, $7,196 was spent on food per person between July 2015 and July 2016. That’s a total of $2.23 trillion dollars!
According to a local first study by Civics Economics, for every $100 spent at a locally owned business, $68 remains in the local economy.
Now consider if each US citizen allotted a small, 1.39% portion (about $100) annually of what they already spend on food and allocate it to purchase products from a farmers market, restaurants that serve locally grown products, the locally grown food section of grocery stores, a local farm or manufacturer?
Assuming that 1.39% of the $2.23 trillion is spent on local products, or $31 billion, an additional 4,286,246 jobs could be created with wages of $141.5 million being added to local payrolls. Output would increase by $460.2 billion.
That would be huge for the U.S. economy! So spread the word and try to spend just $100 a year on a tasty treat from your local farmer!
*Please note that these numbers from the Civics Economics study was done for Grand Rapids Michigan and the direct, indirect, and induced numbers pulled to support the economic development impact will be a bit different when targeting the U.S. as a whole. This article is to give a general idea of what the impact would be scaled up to a national level.