by Matthew Holloway | Apr 15, 2026 | Economy, Must Read, News
By Matthew Holloway |
A new report from the Common Sense Institute finds that rising costs for housing, groceries, insurance, and child care continue to strain affordability for Arizona families, even as inflation has cooled from its post-pandemic peak.
According to CSI’s latest affordability rankings, Arizona is now the seventh least affordable state in the nation and ranks 45th overall when comparing household incomes to the cost of essential expenses. The state has fallen 12 spots in affordability since 2019, but remains more affordable than Florida, Oregon, New York, Massachusetts, and California, which ranked 46th through 50th, respectively.
CSI’s analysis found that Arizona households retain about 19.6% of their gross income after paying for taxes and basic expenses such as shelter, groceries, health insurance, car insurance, gasoline, and child care. That amounts to about $1,700 per month left over, compared to the national average of 24.7% ($2,170 per month).
The report found that Arizona households are spending about $19,300 more per year on essential expenses than they did in 2019, exceeding the national average increase of $15,400. CSI estimates that Arizona households have effectively lost 3.8% of their gross income to rising prices since before the pandemic.
Housing costs have continued to be the primary cause of affordability challenges in the state. According to a recent report, shelter and utility costs for Arizona households rose by $9,012 annually between 2019 and 2025, a 59% increase that ranked as the fourth-largest increase in the country. Arizona also experienced some of the nation’s fastest-growing grocery and car insurance costs during the same period.
CSI reported that grocery costs rose by $3,375, child care costs by $3,950, health insurance costs by $1,302, car insurance costs by $1,355, and gasoline costs by $313 between 2019 and 2025.
The report found that child care remains a major expense for working families. In Arizona, one full-time working parent must devote about 38% of their gross income to cover child care costs, slightly below the national average of roughly 40%. Nationally, CSI estimated that the average household spends about 16.9% of gross income on child care for preschool- and school-aged children.
“Inflation reports may show things are cooling, but that doesn’t mean life is getting more affordable for Arizonans,” said Zachary Milne, Senior Economist and Research Analyst for the Common Sense Institute AZ. “Our analysis shows the cost of everyday essentials is still significantly higher than it was before the pandemic, and for many families, incomes haven’t kept pace. That gap is what continues to drive the affordability challenges we’re seeing across Arizona today.”
CSI noted that inflation in the Phoenix area has moderated in recent months, with consumer prices rising 2.2% year over year in December. However, according to CSI’s Arizona inflation update, prices in the Phoenix metro area remain 28.9% higher than they were in December 2019, resulting in an additional $1,441 in average monthly costs for a typical Arizona household.
Arizona households are also carrying greater debt, coupled with declining credit scores and rising delinquency rates, at levels significantly higher than the national average, according to CSI’s April 1 report.
CSI detailed its data sources and methodology on its website.
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
by Ethan Faverino | Feb 28, 2026 | Economy, News
By Ethan Faverino |
As the 2026 Cactus League Spring Training season kicks off, bringing fifteen Major League Baseball teams to ten stadiums across the Valley, a comprehensive new analysis from the Common Sense Institute (CSI) highlights the significant economic benefits of this annual tradition.
The report estimates that the season, running from February 20 through March 24 with 225 scheduled games, will generate between $210 and $953 million in GDP for Arizona, driven primarily by new spending from out-of-state visitors.
“Spring training is when Arizona’s tourism industry truly steps up to the plate,” wrote Katie Ratlief, Executive Director of CSI. “Each February and March, fans from across the country bring new spending into our hotels, restaurants, and small businesses — supporting jobs, generating tax revenue, and driving measurable economic growth.”
According to the CSI and Cactus League, an estimated 1.8 million fans are expected to flock to venues all over the Valley. About 65% of attendees are projected to come from outside Arizona, injecting fresh dollars into the state’s economy.
Out-of-state visitors—including fans, players, coaches, team staff, and their companions—are anticipated to spend between $210 million and $590 million directly on categories such as lodging, restaurants and bars, groceries, in-state transportation, and game tickets. Key spending breakdowns include:
- Hotels: $74 million to $335 million
- Restaurants and bars: $46 million to $105 million
- Groceries: $23 million to $52 million
- Transportation: $10 million to $45 million
- Game Tickets: Approximately $52 million
This direct spending is expected to ripple through the economy, resulting in:
- Total business sales output: $341 million to $1.6 billion
- GDP Boost: $210 million to $953 million
- Personal income increase: $46 million to $556 million
- Disposable personal income boost: Up to $486 million
- Jobs supported statewide: 668 to 9,697
The report notes that, for the first time, favorable conditions—including strong attendance and potentially higher per-visitor spending—could push the overall economic impact beyond the $1 billion mark this year.
The influx is also projected to generate between $12 million and $33 million in additional State Transaction Privilege Tax (TPT)—Arizona’s equivalent of sales tax—providing a further boost to state and local coffers.
“Arizona’s strong policy environment and world-class quality of life make it possible to attract major recurring events like the Cactus League,” added Ratlief, “and it is a big part of why tourism is a consistent and powerful contributor to our state’s economy.”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Matthew Holloway | Feb 4, 2026 | Economy, News
By Matthew Holloway |
Arizona’s growing role as a national hub for data centers could be undermined by municipal regulations driven by concerns over water use, electricity demand, and land use, according to a new policy report released by the Goldwater Institute. The report, Data Centers: A Free Market Model for the Digital Future, argues that Arizona’s success in attracting data center investment stems from long-standing policy choices that favor predictable regulation, private property rights, and a stable legal environment.
The authors note that “artificial intelligence has dramatically accelerated these trends. Demand for data has increased exponentially. How communities, businesses, and policymakers respond to this transformation will shape economic competitiveness for decades to come.”
The report also cautions that a rise in local-level restrictions could threaten the state’s competitive position in the digital infrastructure sector.
William Beard, municipal affairs liaison at the Goldwater Institute and a co-author of the report, explained, “Data centers are the physical backbone of cloud computing, artificial intelligence, digital commerce, and national security. They are core infrastructure, no different in principle from transportation networks, energy production, or large-scale agriculture built to meet the demands of a particular era.”
Beard added that Arizona’s emergence as a leader in data center development has already produced economic benefits for the state. “Arizona is thriving as a leader in data centers, the state is reaping the economic benefits, and policymakers must take steps to ensure that continues,” he said.
According to the report, the Greater Phoenix region has become one of the top data center markets in the United States, with capacity projected to exceed 5,000 megawatts—an expansion of more than 500 percent. Goldwater attributes the dramatic growth to regulatory predictability and policies that encourage investment rather than discourage it, as well as “affordable land; reliable energy; and a legal environment anchored in strong private property rights.”
However, the report also warns, “Continued growth is no guarantee, especially as local governments threaten data centers with restrictive policies.”
Data center developments, such as the 290-acre data center Project Blue in Pima County and Project Baccara in Surprise, have sparked heated controversy at the municipal and county levels.
Citing growing municipal resistance to data center projects, Jen Springman, coalitions manager at the Goldwater Institute and a co-author of the report, said opposition is often rooted in misunderstandings about the impacts of infrastructure.
“Arizona’s advantage is increasingly threatened by a growing municipal-level regulatory backlash, often driven by misconceptions about water use and electricity demand,” Springman said.
Regarding water consumption, Springman said, “Modern data centers are among the most water-efficient industrial facilities ever built.”
The report further challenges claims that data center development is responsible for rising electricity prices. “Electricity prices, meanwhile, are not a data center problem; they are a policy outcome,” Springman said.
She added that misdirecting blame can lead to ineffective policy responses. “Blaming infrastructure for political energy choices obscures the real cause—and produces the wrong solutions,” Springman said.
Goldwater’s report argues that local restrictions do not reduce demand for digital services, but instead risk shifting investment to other states while increasing costs for consumers and businesses.
In a summary of the report’s conclusions posted to X, Goldwater stated, “The question is not whether data centers will exist, but whether Arizona will continue to lead—or retreat in the face of the future.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
by AZ Free Enterprise Club | Jul 23, 2025 | Opinion
By the Arizona Free Enterprise Club |
15 months. That is how much time we have left until Arizona can elect a new governor, and it couldn’t come soon enough.
Since taking office in 2023, Katie Hobbs has been a complete disaster. The heights of her corruption have certainly been well documented. From her illegal use of public resources to solicit money for her inauguration, to an alleged pay-to-play scheme between Hobbs and an Arizona group home that donated to her inauguration, to shelling out $700,000 to a company owned by the brother of the now-former Office of Tourism Director to create a new state logo, Hobbs has proven that the people of Arizona are her lowest priority. And there are no signs that will change any time soon.
In the latest reveal of her efforts to turn her office into a jobs program for her political friends, it was discovered that Hobbs handed out nearly $600,000 in taxpayer money to a former Democrat politician and her assistant for two newly created jobs. These just add to the long line of other phony baloney jobs Hobbs has created so that her buddies can get paid six-figure salaries to sit around and do nothing on your dime. In fact, just last year, she added six new jobs in the newly created Office of Resiliency (whatever that is), four new employees in the Office of Tribal Relations, and three new in-house attorneys, to name a few. All total, Hobbs has increased executive employment costs by over 50%!
With all these new government jobs, you would think Arizona must be leading the way in the nation for job creation, but no. It’s just the opposite…
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by AZ Free News | May 7, 2021 | News
On Thursday, the Governor’s Office announced that Arizona will add more than half a million jobs over the next eight years, according to projections from the Arizona Office of Economic Opportunity.
According to the Office of Economic Opportunity (OEO), Arizona will add nearly 550,000 jobs by 2029 for an annualized job growth rate of 1.6%, four times the U.S. growth rate. The OEO projections come as Arizona is experiencing an explosion of advanced manufacturing in industries like semiconductors and electric vehicles.
In March, Governor Doug Ducey announced personal income in Arizona rose last year at a rate faster than nearly any state in the country, according to estimates from the Bureau of Economic Analysis. With a personal income growth rate of 8.4%, Arizona tied with Montana for the fastest rate of growth in personal income in 2020.
Last year, Taiwan Semiconductor Manufacturing Company announced the addition of 1,600 jobs and construction of a new semiconductor fabrication facility in Phoenix. In March, Intel announced adding 3,000 jobs along with two new semiconductor fabs in Chandler. Intel’s $20 billion investment represents the largest private sector investment in state history.
When it comes to electric vehicles, companies like Lucid, Nikola, ElectraMeccanica, which all have set up manufacturing facilities in the state, are projected to add thousands of jobs in coming years. These announcements mean more jobs for suppliers and support industries as well.
“Arizona has become a jobs magnet,” said Ducey in a press release. “Not only are jobs booming, wages are rising faster at one of the fastest rates in the country. Our recovery is moving forward and there is more opportunity before us than ever before.”
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