As Lower 48 economy improves, many leave Alaska

Alaska’s population grew slightly last year, but that doesn’t mean more people are moving to the state.

Overall, the total population of Alaska increased by 271 residents between July 2014 and July 2015, according to the most recent population estimates from the Alaska Department of Labor and Workforce Development. The growth stems from natural increase — the number of deaths subtracted from the number of births statewide.

However, in terms of people relocating, more people left Alaska than moved in during that time period — about 6,774 more. This is the second year in a row that Alaska has seen a relatively large loss in net migration, said Eddie Hunsinger, a state demographer for the Department of Labor and Workforce Development.

Some fluctuation is normal, but Alaska does have a higher migration rate than other states, he said.

“Alaska has one of the highest rates of migration in the country,” Hunsinger said. “Six percent of Alaskans arrived in the last year, and five to seven percent will leave in the next year.”

Some of the reasons may be demographic — Alaska tends to have a younger, working population, and many are in the military, which requires relocation, Hunsinger said. However, other reasons may be economic.

It wouldn’t be the drop in oil prices that caused the departures in 2015, though, said state economist Neal Fried. The population prediction next year may show that, but this year, it’s more likely because economic opportunities elsewhere in the U.S. are improving, he said.

“There’s just an incredible recovery in the American economy,” Fried said. “Our numbers (were) quite positive in the Great Recession, but as the economy improved and the rest of the country became more attractive, there was greater demand elsewhere and people left.”

Fried said this is a regular trend for Alaska. When the economy elsewhere in the U.S. is less robust, people tend to relocate here, seeking jobs. When job opportunities improve elsewhere, the trend reverses.

This is true of other cities and states as well, he said. When a region is prospering, the population tends to increase as people immigrate there, seeking economic opportunities that may not be available where they come from. Likewise, regions that are not doing as well tend to lose population or at least not gain very much, he said.

“I think one of the biggest reasons people move is for economic opportunity. That’s one of the reasons for emigration,” Fried said. “Economic prosperity doesn’t explain all migration, but it plays a role.”

Within Alaska, the Mat-Su Borough continued its decades-long trend of population growth with an increase of 1,801 residents. The Kenai Peninsula came in second, with an increase of 348 residents.

The Municipality of Anchorage lost about 1,458 residents, the largest amount of any region in Alaska. The Aleutians East Borough’s population fell by 222, the second largest drop statewide. Most of the losses in regions can be chalked up to migration, according to a news release from the Department of Labor and Workforce Development.

Among the state’s six economic regions, the Anchorage-Mat-Su Region, the Northern Region — which includes the North Slope Borough, the Northwest Arctic Borough and the Nome Census Area — and the Gulf Coast Region posted growth. The other three regions, which include the Interior Region, the Southeast Region and the Southwest Region, posted relatively small losses.

Reach Elizabeth Earl at elizabeth.earl@peninsulaclarion.com.

More in News

A sign welcomes visitors on July 7, 2021, in Seward, Alaska. (Photo by Jeff Helminiak/Peninsula Clarion)
Seward council delays decision on chamber funding until January work session

The chamber provides destination marketing services for the city and visitor center services and economic development support

A table used by parties to a case sits empty in Courtroom 4 of the Kenai Courthouse in Kenai, Alaska, on Wednesday, Dec. 11, 2024. (Jake Dye/Peninsula Clarion)
Crane sentenced again to 30 years in prison after failed appeal to 3-judge panel

That sentence resembles the previous sentence announced by the State Department of Law in July

Kenai City Manager Paul Ostrander sits inside Kenai City Hall on Thursday, Sept. 29, 2022. (Ashlyn O’Hara/Peninsula Clarion file)
Ostrander named to Rasmuson board

The former Kenai city manager is filling a seat vacated by former Kenai Peninsula Borough Mayor Mike Navarre

Joe Gilman is named Person of the Year during the 65th Annual Soldotna Chamber Awards Celebration at the Soldotna Regional Sports Complex on Wednesday. (Jake Dye/Peninsula Clarion)
Gilman, PCHS take top honors at 65th Soldotna Chamber Awards

A dozen awards were presented during the ceremony in the Soldotna Regional Sports Complex conference rooms

Alaska State Troopers logo.
Troopers respond to car partially submerged in Kenai River

Troopers were called to report a man walking on the Sterling Highway and “wandering into traffic”

Seward City Hall is seen under cloudy skies in Seward, Alaska, on Thursday, Nov. 7, 2024. (Jake Dye/Peninsula Clarion)
Seward council approves 2025 and 2026 budget

The move comes after a series of public hearings

Alaska State Troopers logo.
4 arrested for alleged sale of drugs in Seward

A dispatch first published in September has been updated twice with additional charges for drug sales dating back to 2020

Lisa Parker, vice mayor of Soldotna, celebrates after throwing the ceremonial first pitch before a game between the Peninsula Oilers and the Mat-Su Miners on Tuesday, July 4, 2023, at Coral Seymour Memorial Park in Kenai, Alaska. (Jake Dye/Peninsula Clarion)
Soldotna vice mayor elected head of Alaska Municipal League

The league is a nonprofit and nonpartisan organization representing 165 of Alaska’s cities, boroughs and municipalities

Soldotna Chamber of Commerce Executive Director Maddy Olsen speaks during a color run held as part of during the Levitt AMP Soldotna Music Series on Wednesday, June 7, 2023, at the Kenai National Wildlife Refuge Visitor’s Center in Soldotna, Alaska. (Jake Dye/Peninsula Clarion)
Olsen resigns as director of Soldotna Chamber of Commerce

She has served at the helm of the chamber since February 2023

Most Read