The Contribution of Cotton to Arizona's Economy

This study quantifies the contribution of cotton farming and ginning to Arizona’s economy in 2022 (the year of the most recent USDA Census of Agriculture). We estimate the direct contribution, as well as additional economic activity supported through multiplier effects in industries outside of cotton production. Indirect multiplier effects capture economic activity in non-agricultural industries that provide goods and services as inputs to Arizona cotton production. Induced multiplier effects capture economic activity in industries that provide consumer goods and services to households earning income from the cotton industry. Direct, indirect, and induced effects combined measure the total economic contribution to the state’s economy. In addition, we offer an overview of trends in pesticide use and water efficiency related to cotton production.