New Mexico
New Mexico exhibits federal island effect: Los Alamos and Sandia labs employ 25,000+ at high wages while surrounding state ranks among America's poorest.
New Mexico hosts America's nuclear weapons complex: Los Alamos National Laboratory and Sandia National Laboratories between them employ over 25,000 people in highly paid scientific positions. This federal presence creates islands of prosperity in a state that otherwise ranks among America's poorest. Albuquerque's economy depends heavily on these labs and on Kirtland Air Force Base, making federal spending the dominant economic driver.
Tourism brings visitors to Santa Fe's art scene, Taos Ski Valley, and the Carlsbad Caverns, but employs workers at lower wages than laboratory or federal jobs. Oil and gas extraction in the Permian Basin's New Mexico portion provides tax revenue and employment in the southeast, far from the population centers. Agriculture continues in irrigated valleys along the Rio Grande, though water scarcity intensifies as drought conditions persist.
Native American nations—Navajo, Pueblo, Apache—occupy significant land area and operate casinos that provide tribal employment. The state's Hispanic heritage creates cultural tourism value while reflecting the poverty that Spanish colonization and subsequent American governance failed to address. New Mexico demonstrates how federal investment can create prosperity in isolation without transforming surrounding economic conditions.