Thirty Years of Change: Dynamics of Income, Education, Labor, Housing, and Age

Aaron Scholl - May 29, 2025
Thirty Years of Change: Dynamics of Income, Education, Labor, Housing, and Age

Over the last three decades, South Dakota has seen uneven and striking shifts in its economic conditions, social composition, and demographic profile. Using detailed neighborhood-level data aggregated to county boundaries from the 1990 and 2000 Decennial Censuses, as well as the 2010 (2008-2012) and 2020 (2015-2019) American Community Survey (ACS) five-year samples, this article documents the changing landscape of income, educational attainment, labor market composition, housing stock, and age structure across the state. While some trends mirror national patterns, the pace and distribution of these changes vary widely across South Dakota’s counties. In the following sections, we take a closer look at these five dimensions of life in South Dakota, discussing both the progress made and the disparities that persist.

Income Trends in South Dakota

Between 1990 and 2020, South Dakota saw considerable increases in both household and per capita incomes. In nominal terms (i.e., before adjusting for inflation), typical household income rose from approximately $23,603 in 1990 to $58,431 in 2020. Adjusted for inflation (indexed to 2025 dollars), household income rose from $56,669 in 1990 to $70,810 in 2020, or an increase of 25.0 percent over the last three decades. In per capita terms, nominal per capita earnings increased from $10,686 in 1990 to $30,169 in 2020. Adjusted for inflation, this translates to a rise from $25,656 to $36,560 in 2020, or an increase of 42.5 percent.

This growth, however, was not distributed evenly across the state. Aurora County led all counties with an impressive 98.2 percent increase in real household income—from $39,183 in 1990 to $77,660 in 2020. Deuel and Marshall Counties followed closely with gains exceeding 75 percent, indicating substantial economic progress in these rural areas.

In contrast, other counties saw much slower income growth—or even decline. Todd County experienced a 15 percent decrease in real household income over this period. Haakon County and Jackson County also showed minimal growth with increases of 0.7 percent and 1.8 percent, respectively, from 1990 to 2020. Focusing on South Dakota’s largest county, Minnehaha County saw increases in real household income of 6.5 percent over the same timeframe. These county disparities highlight the nature of economic development across South Dakota and offer a useful lens for evaluating other economic and social patterns, including education and labor market composition.

Educational Attainment in South Dakota

Educational attainment has increased notably across South Dakota, serving as a key driver of long-term economic growth and labor market flexibility. The share of adults with no more than a high school diploma fell from 56.6 percent in 1990 to 38.5 percent by 2020, while the proportion of adults with a bachelor’s degree or higher rose from 17.2 percent to 28.8 percent over the same timeframe. Tracking the share of adults with lower versus high levels of education reveals clear progress toward a more educated workforce across South Dakota’s counties.

Lincoln, Faulk, and Union Counties made particularly strong strides from 1990 to 2020. Lincoln County, part of the Sioux Falls metropolitan area, saw the largest drop in residents with a high school diploma or less, decreasing, from 57.5 percent in 1990 to 28.1 percent in 2020. Faulk and Union Counties followed closely, each cutting their low-education share by nearly 28 percentage points over the same period.

In contrast, several counties experienced only modest reductions. Mellette County saw the share of adults with a high school diploma or less fall by 8 percentage points, from 66.3 percent in 1990 to 58.4 percent in 2020. Bennett County showed a similar change, dropping from 60.6 percent to 52.6 percent.

Although the state overall gained more than 10 percentage points in the share of adults with a bachelor’s degree or more from 1990 to 2020, gains were concentrated geographically. In the Sioux Falls metropolitan area, Minnehaha County saw college attainment rise from 21.3 percent to 33.1 percent, while neighboring Lincoln County posted the most dramatic increase—from 16.4 percent in 1990 to 37.6 percent in 2020. Beyond the metro core, Brookings, Pennington, and Brown Counties also saw meaningful increases of approximately 13.0, 10.4, and 8.7 percentage points, respectively, over the same period.

Labor Market Composition in South Dakota

South Dakota’s labor market has shifted substantially over the past thirty years, reflecting changes in who is working, what kinds of jobs are available, and how work is structured across the state. Key indicators—female labor force participation, professional and manufacturing employment, and self-employment shed light on these compositional changes.

One of the positive trends has been the consistent uptick in the participation rate of women in the workforce. From 58.4 percent in 1990 to a peak of 65.5 percent in 2010, female labor force participation dipped slightly to 64.0 percent in 2020, but still reflects consistent long-term growth. Marshall County posted the most significant gain, with a nearly 19 percentage point increase, followed by Sanborn and Aurora Counties with gains of over 16 percentage points over the 30-year period.

At the same time, there has been a dramatic increase in the share of residents working in professional occupations. Statewide, this figure jumped from 21.8 percent to 36.3 percent, more than doubling over 30 years. Campbell County saw the most dramatic shift, with a gain of over 40 percentage points, while Ziebach and Corson Counties also saw increases of over 30 percentage points. These changes point to a shift in the kinds of jobs available in South Dakota, with more people working in business, healthcare, and other professional services than in the past.

In contrast, self-employment declined across the state, dropping from 16.1 percent in 1990 to 8.4percent in 2020. The largest drops were in Deuel, Hanson, and Gregory Counties, each losing over 20 percentage points of the self-employed workforce over the three most recent decades. This decline may reflect increased consolidation in agriculture and small business sectors, increased barriers to entrepreneurship, or a growing appeal for salaried employment with benefits and greater stability.

Housing Profile in South Dakota

Housing conditions offer a window into community stability, investment patterns, and demographic change. Two key indicators—the age of housing stock, measured as the share of housing structures more than 30 years old, and residential mobility, measured as the share of residents who have lived in their current neighborhood for 10 years or less, are discussed below.

The housing profile of South Dakota reflects both physical aging and shifting patterns of residential mobility. The share of housing structures that were more than 30 years old rose from 52.7 percent in 1990 to 73.2 percent in 2020. This increase suggests a slowing rate of new construction, especially outside high-growth areas. Over time, older housing may become less appealing to new or younger residents and require greater investment in maintenance, repairs, and upgrades.

Todd County experienced the sharpest rise in aging housing, with the share of structures over 30 years old increasing by 53.5 percentage points from 1990 to 2020. Dewey and Bennett Counties followed closely, each with increases exceeding 43 percentage points, pointing to long-term underinvestment in housing renewal. In contrast, Lincoln County experienced a decline of 20 percentage points in its share of old housing, reflecting a boom in new construction and suburban growth.

In terms of neighborhood tenure, residential turnover declined. The percentage of families who had lived in their homes for less than 10 years fell from 53.9 percent in 1990 to 43.1 percent in 2020, indicating longer tenures and potentially more stable communities across the state. The greatest declines were seen in Dewey, Ziebach, and Todd Counties, where residential mobility dropped by 6 percentage points over this period. This may reflect a combination of limited housing supply, rising housing costs, and fewer affordable options to relocate. Meanwhile, Aurora and Lincoln Counties saw slight increases in recent movers, possibly reflecting growing job markets and migration into newer developments.

Age Composition in South Dakota

South Dakota is experiencing a clear aging of the population. The proportion of residents under the age of 18 declined from 28.5 percent in 1990 to 24.8 percent in 2010, before leveling off at 24.6 percent in 2020. At the same time, the share of residents aged 60 and over across the state grew from 22.1 percent in 1990 to 26.3 percent in 2020, consistent with broader national trends in population aging.

Ziebach County recorded the most pronounced decline in its youth population, with a drop of more than 12 percentage points over the 30-year period. Custer and Harding Counties also experienced double-digit declines, suggesting a potential long-term contraction in their school-age populations.

On the other end of the age distribution, growth in the senior population was most pronounced in counties such as Custer, where the share of residents aged 60 and above rose by 22 percentage points. Stanley and Sully Counties also experienced significant aging. These patterns may be reflection of a combination of factors, including the in-migration of retirees, longer life expectancy, or the aging-in-place of long-term residents.

The share of South Dakota residents aged 75 and older rose more modestly, but still meaningfully, in some parts of the state. Jones County led this growth with a 6.5 percentage point increase, followed by notable gains in Haakon and McPherson Counties. Conversely, Hamlin, Hanson, and Lincoln Counties experienced stability or slight declines in their aged 75 and older populations, possibly due to younger age structures or the out-migration of older adults.

Where Do We Go Next

Across income, educational attainment, labor market composition, housing, and age structure, South Dakota has experienced significant changes since 1990. Incomes are up, educational attainment has improved, and more residents are employed in professional roles. At the same time, housing is older, populations are less mobile, and the state is aging. These patterns vary widely across counties, pointing to a need for local solutions that address both the strengths and the challenges facing South Dakota communities. As the state continues to change in the decades to come, understanding these local patterns will be key to crafting policies that support sustainable growth.