A comprehensive new economic analysis released on Friday highlights the immense financial contribution of local radio and television stations to the American economy. The study, commissioned by the National Association of Broadcasters (NAB) and conducted by Woods & Poole Economics with support from BIA Advisory Services, found that the local broadcast industry is responsible for generating $1.19 trillion in annual Gross Domestic Product (GDP) and supports nearly 2.5 million jobs across the United States.
The report breaks down the specific contributions of radio, noting that local AM and FM stations alone generate $437 billion in economic activity and support over 909,000 jobs. These figures encompass not only direct employment at stations—such as sales, engineering, and on-air roles—but also the ripple effects in industries that supply goods and services to broadcasters. Furthermore, the study quantifies the “stimulative effect” of broadcast advertising, which it identifies as the primary driver of this economic impact. By providing free, widely accessible commercial information, local radio helps consumers make efficient purchasing decisions and enables businesses to compete effectively, thereby fueling broader market growth.
NAB President and CEO Curtis LeGeyt emphasized that the findings underscore the industry’s role as a cornerstone of the national economy, extending far beyond its cultural and informational mandates. The data shows that the economic footprint of broadcasting is significant in communities of all sizes, with strong per-capita impact seen in mid-sized and smaller states where local radio often serves as a primary connector for commerce. The report projects that this economic influence will remain stable through 2028, reinforcing the resilience of the broadcast model despite the shifting media landscape.