(JEFFERSON CITY) Missouri's personal income rose by 4.5 percent last year to over $176 billion, according to the U.S. Bureau of Economic Analysis, but economic development officials say state incomes could increase at a greater rate under the Missouri Quality Jobs Act proposed by Gov. Matt Blunt.

Missourian's incomes grew at a stronger pace than the 3.3 percent increase of 2003. The Show-Me State ranked 20th nationally in personal income and had the third highest total personal income when compared to surrounding states, with only Illinois ($437 billion) and Tennessee ($177 billion) ranking higher. However, Missouri continued to lag behind the nation as a whole, which saw personal income grow by 5.7 percent last year.

"These newest figures are encouraging but there is more work to be done," said Greg Steinhoff, director of the Department of Economic Development. "The governor's legislative proposal would not only attract companies to Missouri but would also require wages that would boost personal income across the state."

Under the Quality Jobs Act currently pending the Legislature, companies that create jobs that pay at least the county average wage would receive withholding tax incentives designed to attract business to Missouri. Blunt, who took office in January of this year, has made Quality Jobs part of his goal of creating a hospitable environment for business in order to create high-paying, high-quality, family-supporting jobs.

"Missouri is in competition with 49 others states and many other countries for jobs and the governor's Quality Jobs proposal is one way in which we can compete while at the same time attracting jobs that will improve workers' incomes," Steinhoff said. "Higher paying jobs mean that workers will be able to better provide for their families and therefore strengthen the state's overall economic picture."

On a per capita basis, income in Missouri increased 3.9 percent to an average of $30,608, while national personal income grew by 4.7 percent for an average of $32,937. While the state's annual per capita income increase in 2004 was the largest in three years, Missouri ranked 46th among states for per capita income growth last year.