The annual state income for 2009 data was released yesterday with an annual average drop of -1.7% from 2008 and dropped in 42 states.

State personal income declined an average 1.7 percent in 2009, according to estimates released today by the U.S. Bureau of Economic Analysis. The annual percentage change in state personal income ranged from -4.8 percent in Nevada to 2.1 percent in West Virginia (one of six states with a personal income gain in 2009). Inflation, as measured by the national price index for personal consumption expenditures, fell to 0.2 percent in 2009 down from 3.3 percent in 2008.

The per capita income is even worse, -2.6% with an average of $39,138.

Per capita personal income (personal income divided by population) fell 2.6 percent nationally in 2009 after rising 2.0 percent in 2008.

But all is not lost for in Q4 2009, the average income rose 0.9%, so obviously most of the loss is when the United States had those cliff diving unemployment losses.

The Wall Street Journal has put together a table of all state data, correlated to the drop in home prices.

The original source for the current State Income is located here on the BEA site.