John Lettieri, President and CEO of Economic Innovation Group | Official Website
John Lettieri, President and CEO of Economic Innovation Group | Official Website
Among Illinois’ counties, Lawrence County saw the largest increase in transfer dependency over the past 10 years, surging 10.8% from 25.3% in 2012 to 36.1% in 2022, and up 23.2% from just 12.9% in 1970. In dollar terms, government transfers per capita in Lawrence County jumped from $9,878 in 2012 to $14,211 in 2022, a stark contrast to the $2,568 recorded in 1970.
Pope County followed with the second-largest increase in transfer dependency, increasing 10.1% from 29.4% in 2012 to 39.5% in 2022, and an overall increase of 15.7% from 1970’s 23.8% transfer dependency. This trend is reflected in per capita amounts, with residents of Pope County receiving an average of $14,432 in transfer income in 2022, up from $9,643 in 2012 and more than double the $2,568 recorded in 1970.
Additionally, Alexander County had the highest percentage of income derived from government transfers, at 50.5% in 2022, making it the county with the highest overall transfer dependency. Pulaski County and Hardin County followed, with transfer dependency rates of 42.8% and 41.2% in 2022, respectively.
Compared to 1970, Alexander County increased by 26.3%, while Pulaski County and Hardin County have increased by 18.5% and 22.8%, respectively, showing sustained reliance on government transfers. Residents in Alexander County received an average of $24,592 in transfers per capita, with Pulaski County and Hardin County close behind at $19,657 and $18,945, respectively.
For comparison, the statewide average was 16% in 2022, showing a lower dependency than the national average of 17.6%. On a per capita level, this translates to $10,848 per resident in 2022, compared to $11,542 nationwide.
Government transfer payments are non-repayable funds provided by federal, state, or local governments to support individuals in need. These payments aim to stabilize economic conditions and provide financial support during hardships. Key programs include Social Security transfers (retirement benefits), Medicare transfers (healthcare for seniors), Medicaid transfers (healthcare for low-income individuals), and income maintenance transfers (financial assistance for basic needs).
In Illinois, reliance on government transfers was just 7% (or $1,894 per capita in inflation-adjusted 2022 dollars) in 1970. This has since increased to 16% (or $10,848 per capita) in 2022, reflecting a total increase of 9% since 1970. This shift is largely influenced by increased healthcare costs, and economic transformations that have reshaped income sources across the U.S.
In 2022, the primary government transfer programs in Illinois included:
- Social Security: $3,480 (32.1% of total transfers)
- Medicare: $2,649 (24.4% of total transfers)
- Medicaid: $2,180 (20.1% of total transfers)
- Income Maintenance Programs: $1,619 (14.9% of total transfers)
With 17% of the population aged 65 and older, Illinois has a significant demand for programs like Social Security and Medicare. However, counties with higher poverty rates also show elevated Medicaid and income maintenance participation.
Government transfers have long been a modest financial safety net, historically comprising only a small fraction of Americans' income. However, since the 1970s—sometimes dubbed the “Great Transfer-mation”—dependency has surged from 8.2% (or $2,022 per capita in inflation-adjusted 2022 dollars) in 1970 to 17.6% (or $11,542 per capita) in 2022 nationwide. In Illinois, reliance on government transfers has similarly increased from 7% (or $1,894 per capita) in 1970 to 16% (or $10,848 per capita) in 2022.
According to the Economic Innovation Group’s analysis, these trends are not merely short-term responses to economic pressures but rather reflect a profound, long-term transformation in how government support is integrated into American life. The study illustrates that structural shifts—from rising healthcare expenses and demographic changes to stagnant wages—have significantly increased dependency on government transfers.
| County | Dependency on Transfers (%) | Change Since 2012 | Change Since 1970 | Per Capita Amount (2022) | Per Capita Change Since 2012 | Per Capita Change Since 1970 |
|---|---|---|---|---|---|---|
| Adams County | 22.4% | 2.9% | 12.8% | $12,604 | $3,299 | $10,446 |
| Alexander County | 50.5% | 8.2% | 26.3% | $24,592 | $10,907 | $20,778 |
| Bond County | 27.2% | 3.9% | 15.3% | $12,338 | $3,614 | $9,926 |
| Boone County | 17.1% | 2.2% | 12.4% | $9,468 | $2,326 | $8,230 |
| Brown County | 18.7% | 0.2% | 6% | $8,751 | $2,459 | $6,312 |
| Bureau County | 22.5% | 2.8% | 14.1% | $11,610 | $2,547 | $9,661 |
| Calhoun County | 24.4% | 1.1% | 12.3% | $13,500 | $3,399 | $10,976 |
| Carroll County | 25.5% | 2% | 17.8% | $13,184 | $2,607 | $11,274 |
| Cass County | 23.3% | 2.5% | 13.1% | $11,658 | $3,144 | $9,265 |
| Champaign County | 14.5% | 2.6% | 9.8% | $7,920 | $2,124 | $6,819 |
| Christian County | 26.7% | 3.9% | 17.3% | $13,111 | $3,135 | $10,939 |
| Clark County | 26% | 3.6% | 14.7% | $13,295 | $3,719 | $10,870 |
| Clay County | 31.6% | 4.3% | 18.3% | $15,563 | $4,022 | $13,080 |
| Clinton County | 19% | 1.6% | 11.2% | $11,193 | $2,914 | $9,662 |
| Coles County | 23.8% | 3.3% | 14.6% | $12,430 | $3,751 | $10,552 |
| Cook County | 15.6% | 0.5% | 8.7% | $11,388 | $2,452 | $9,329 |
| Crawford County | 24.2% | 6.3% | 11.8% | $12,626 | $3,746 | $10,160 |
| Cumberland County | 13% | -6.7% | 2.1% | $11,661 | $2,932 | $9,690 |
| DeKalb County | 18.3% | 2.5% | 13.4% | $9,349 | $2,717 | $8,276 |
| De Witt County | 21.5% | 3.9% | 11.9% | $12,327 | $3,260 | $10,189 |
| Douglas County | 16.7% | 0.2% | 9.8% | $10,542 | $2,423 | $8,869 |
| DuPage County | 10% | 0.9% | 6.9% | $8,865 | $2,331 | $7,875 |
| Edgar County | 26.2% | 0.4% | 16.3% | $14,731 | $4,100 | $12,489 |
| Edwards County | 23.1% | 3.2% | 13.2% | $11,482 | $2,918 | $9,376 |
| Effingham County | 18.6% | 2.5% | 8.4% | $11,579 | $3,458 | $9,532 |
| Fayette County | 27.4% | 2.2% | 14.2% | $12,226 | $2,991 | $10,051 |
| Ford County | 19.3% | 1.7% | 12% | $12,408 | $2,988 | $10,513 |
| Franklin County | 34% | 5.7% | 16.8% | $15,398 | $3,856 | $12,216 |
| Fulton County | 28.3% | 3.6% | 18.4% | $13,558 | $3,609 | $11,424 |
| Gallatin County | 31.9% | 4.7% | 19.3% | $17,397 | $5,418 | $14,981 |
| Greene County | 26.3% | 0.9% | 14.2% | $14,050 | $4,011 | $11,771 |
| Grundy County | 14.4% | 4.8% | 8.8% | $8,778 | $2,112 | $7,257 |
| Hamilton County | 26.7% | 1.2% | 10.1% | $14,269 | $3,341 | $11,509 |
| Hancock County | 24% | 3.1% | 12.6% | $13,443 | $3,806 | $11,191 |
| Hardin County | 41.2% | 7.7% | 22.8% | $18,945 | $5,643 | $15,941 |
| Henderson County | 23% | 1.5% | 14.6% | $13,204 | $3,601 | $11,460 |
| Henry County | 19.5% | 2% | 11.7% | $10,939 | $2,515 | $9,063 |
| Iroquois County | 24.1% | 2% | 15.3% | $13,810 | $3,622 | $11,784 |
| Jackson County | 26.1% | 5.2% | 16% | $12,095 | $3,800 | $10,418 |
| Jasper County | 23% | 4.1% | 12% | $12,986 | $3,966 | $11,002 |
| Jefferson County | 29.5% | 5.3% | 16.1% | $13,930 | $3,790 | $11,300 |
| Jersey County | 24.9% | 2.9% | 17.2% | $13,060 | $3,789 | $11,537 |
| Jo Daviess County | 21.7% | 2.7% | 13.4% | $12,579 | $3,443 | $10,864 |
| Johnson County | 28.6% | 3.5% | 14.2% | $11,238 | $2,299 | $8,761 |
| Kane County | 13.4% | 1.8% | 8.3% | $8,539 | $2,376 | $7,133 |
| Kankakee County | 25% | 2.3% | 17.2% | $12,783 | $3,197 | $11,022 |
| Kendall County | 10.2% | 1.1% | 6.9% | $5,985 | $1,348 | $5,024 |
| Knox County | 31.8% | 5.8% | 23.2% | $14,923 | $3,606 | $12,913 |
| Lake County | 9.3% | 1.4% | 5.6% | $8,746 | $2,349 | $7,573 |
| LaSalle County | 21.9% | 1.8% | 13.6% | $11,653 | $2,571 | $9,682 |
| Lawrence County | 36.1% | 10.8% | 23.2% | $14,211 | $4,333 | $11,643 |
| Lee County | 23.5% | 2.4% | 15.4% | $12,225 | $3,049 | $10,591 |
| Livingston County | 19.9% | 1.5% | 12.5% | $11,269 | $2,883 | $9,569 |
| Logan County | 24.6% | 1.7% | 16.6% | $11,890 | $3,116 | $10,178 |
| McDonough County | 24.1% | 4.5% | 15.6% | $11,598 | $3,472 | $10,119 |
| McHenry County | 13.7% | 2.9% | 8.1% | $8,989 | $2,895 | $7,448 |
| McLean County | 14.2% | 2.8% | 7.8% | $8,250 | $2,302 | $6,735 |
| Macon County | 24% | 3.8% | 16.3% | $13,606 | $3,384 | $11,668 |
| Macoupin County | 26.1% | 3% | 15% | $13,295 | $3,688 | $10,898 |
| Madison County | 21.6% | 2.3% | 13.9% | $12,071 | $2,999 | $10,214 |
| Marion County | 34.2% | 5.2% | 20.2% | $17,107 | $4,703 | $14,248 |
| Marshall County | 23.3% | 2.1% | 15.4% | $13,256 | $3,335 | $11,398 |
| Mason County | 26.3% | 1.4% | 17.6% | $14,794 | $3,431 | $12,649 |
| Massac County | 35.2% | 6.9% | 21.5% | $15,812 | $4,442 | $13,337 |
| Menard County | 20.7% | 3.2% | 12.8% | $11,855 | $3,691 | $9,719 |
| Mercer County | 21.3% | 2.7% | 13.2% | $12,576 | $3,292 | $10,758 |
| Monroe County | 14.6% | 2.2% | 7.1% | $10,035 | $2,803 | $8,339 |
| Montgomery County | 30.7% | 4.7% | 19.4% | $13,336 | $3,505 | $10,998 |
| Morgan County | 26.8% | 4.4% | 18.5% | $13,419 | $3,681 | $11,523 |
| Moultrie County | 15.5% | 2.6% | 5.7% | $11,637 | $2,849 | $9,402 |
| Ogle County | 19.7% | 1.8% | 13.8% | $10,783 | $2,449 | $9,322 |
| Peoria County | 20.3% | 5.2% | 12.9% | $11,651 | $2,935 | $9,699 |
| Perry County | 29.4% | 4.9% | 18.1% | $12,597 | $3,139 | $10,260 |
| Piatt County | 16.4% | 2.1% | 9.8% | $10,973 | $2,940 | $9,088 |
| Pike County | 26.2% | 2.9% | 15.5% | $14,458 | $4,643 | $12,070 |
| Pope County | 39.5% | 10.1% | 15.7% | $14,432 | $4,789 | $11,458 |
| Pulaski County | 42.8% | 4.8% | 18.5% | $19,657 | $5,099 | $16,001 |
| Putnam County | 17.2% | 2.5% | 9.6% | $11,530 | $2,695 | $9,605 |
| Randolph County | 28% | 4.3% | 17.8% | $12,984 | $3,900 | $11,027 |
| Richland County | 26.4% | 2.6% | 15.7% | $13,718 | $3,244 | $11,713 |
| Rock Island County | 23.7% | 5.5% | 16.6% | $11,541 | $2,790 | $9,762 |
| St. Clair County | 24.4% | 4.1% | 13.4% | $13,353 | $3,940 | $10,933 |
| Saline County | 36.6% | 7.9% | 20.7% | $17,090 | $4,879 | $14,023 |
| Sangamon County | 20.3% | 3.5% | 13.4% | $11,592 | $3,251 | $9,725 |
| Schuyler County | 22.9% | 4.1% | 12.1% | $12,216 | $3,593 | $10,059 |
| Scott County | 20.9% | 1.4% | 11% | $11,631 | $3,406 | $9,600 |
| Shelby County | 24.1% | 1.5% | 14% | $12,657 | $3,393 | $10,577 |
| Stark County | 21.1% | 1.4% | 12.3% | $13,238 | $4,167 | $11,180 |
| Stephenson County | 25.6% | 3.3% | 18.3% | $13,544 | $3,652 | $11,751 |
| Tazewell County | 19.9% | 3.8% | 14.3% | $11,262 | $2,974 | $9,887 |
| Union County | 33.9% | 6.1% | 21.1% | $16,320 | $4,342 | $13,781 |
| Vermilion County | 29.2% | 4.4% | 19.8% | $14,318 | $4,002 | $12,188 |
| Wabash County | 25.8% | 4.8% | 16.1% | $13,470 | $3,555 | $11,391 |
| Warren County | 21% | 0.9% | 12.8% | $11,619 | $3,030 | $9,598 |
| Washington County | 20.2% | 3.1% | 8.8% | $12,246 | $3,417 | $10,033 |
| Wayne County | 26.4% | 4% | 15.4% | $12,992 | $2,893 | $10,811 |
| White County | 27.5% | 4.6% | 15% | $15,608 | $4,191 | $12,994 |
| Whiteside County | 26% | 3.7% | 19.3% | $13,588 | $3,320 | $11,988 |
| Will County | 13% | 1.3% | 7.9% | $8,251 | $2,031 | $6,949 |
| Williamson County | 24.4% | 4% | 12% | $12,651 | $2,975 | $10,168 |
| Winnebago County | 24.1% | 3.2% | 17.5% | $12,038 | $2,923 | $10,389 |
| Woodford County | 15.4% | 2.7% | 9% | $9,752 | $2,637 | $8,300 |
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