One way to see the influence of federal spending is the benefit it confers to the area around Washington, D.C. THe Washington Examiner reports that
Loudoun ranks as the richest county in the United States, immediately followed by Fairfax and Howard counties, while Montgomery, traditionally one of the wealthiest, is now 10th.
Forbes magazine ranked eight other Washington-area counties in its list of the nation’s 25 wealthiest counties, far more than any other area in the country. The rankings are based on 2008 median household income data from the U.S. Census Bureau….
Northern Virginia and Fairfax also house government agencies and employers that have been less affected by the economic downturn than biotech-heavy Montgomery, Robertson said.
While other traditionally wealthy regions such as New York and San Francisco have suffered heavily in the recession, the Washington area benefits from the presence of the federal government and its contractors, the overall high level of education, and the area’s high proportion of two-income households.
The local economy “really is built on those pillars,” Robertson said. “Really all of the region [is] poised for a period of new growth and prosperity” following the economic downturn.
There’s no similar benefit to small towns, or cities distant from Washington.