While the total economic impact of our military missions on the State of Alabama can be difficult to fully express, the Alabama Military Stability Foundation partnered with Thomas P. Miller and Associates in 2018 to produce a state-wide Economic Impact Study. Though 24th in the nation in terms of population, as of FY16, Alabama ranked 13th in the United States for Department of Defense (DoD) contracts performed in-state; 12th in the number of national guard and reservists stationed in-state; and 12th in the number of civilian personnel. With all of this activity, the military was responsible for $21 billion in economic output within the state in FY16, representing 8.1 percent of Alabama’s gross domestic product.

To put the military’s economic impact on Alabama in perspective, its contribution is greater than other noteworthy industries individually including Commercial Banking; Light Truck and Utility Vehicle Manufacturing; and Electric Power Distribution. Furthermore, the number of jobs created or supported by the military exceeds many of the state’s single largest industries including Elementary and Secondary Schools and Transportation Equipment Manufacturing. 

As defense investment ripples throughout the state economy, many businesses and individuals receive increased income. For every $100 invested by DoD, an additional $79 of income is produced. In FY16, the military created or supported 210,564 jobs, generating $13 billion in earnings for Alabama residents. Defense investments in Alabama also benefited state and local government entities, which collected $991 million in taxes, and the federal government, which collected $1.7 billion.

The report provides statewide, regional, and county specific data for defense impact in Alabama. To view the Economic Impact Report and more condensed Factbook, click the images below. For a hard copy, reach out to

Economic Impact Report