Anchorage and the Mat-Su are still the fastest growing areas in Alaska, with a combined population in 2006 of 359,987. That will likely grow to 488,553 by 2030.

Data is also showing that the Anchorage and Mat-Su areas, which now house more than half the state's population, is steadily growing, while Southeast Alaska's population is flat or in a slight decline.

Demographers also said that people from rural villages, most notably young women, are moving to urban areas, especially to Anchorage, the Mat-Su and Fairbanks. It's a trend that is likely to continue, Hunsinger said.

Data is showing that women aged 20 to 25 years old are moving out of rural villages and into urban areas, Williams said.

“They will probably take jobs in schools or at big box stores where it will be easy for them to transition into the workforce,” he said.

“The fastest growing area in Alaska is the Knik/Fairview Loop area,” Williams said.

The Interior region - which includes Denali Borough, Fairbanks North Star Borough, Southeast Fairbanks Census Area and Yukon-Koyukuk Census areas - will show some moderate growth, primarily due to defense missile contracting that will require construction and infrastructure improvements, Hunsinger said.

This region will grow from today's population of 102,276 to 125,422 in 2030, a 22.6 percent increase in growth.

Southeast projections show a different outlook.

“Southeast will not grow,” Hunsinger said. “Every region in Alaska is growing with the exception of the communities there.”

State Demographer Eddie Hunsinger gestures during an explanation about the state's different age groups and how they will change during a presentation called Demographic Wizards at Work, held Nov. 1, at the Alaska Department of Labor. Hunsinger said that the only region in Alaska that will not grow by the year 2030 is Southeast. Photo/ Rob Stapleton / AJOC

“A lack of births and out-migration due to job losses in the timber industry are the factors that we think are responsible for this drop in population,” Hunsinger said.

Southeast Region has a population of 70,053 today, and is predicted to drop to 65,073 by 2030.

Projections show that in the future, rural residents likely will continue to move to urban areas, especially to the Fairbanks, Mat-Su and Anchorage regions, Williams said.

Williams added that while residents are worried that children between the ages of 20 to 25 years old are not returning to Alaska after they complete college, that sector of the population is being replaced with young people moving into the state from Outside.

“This age group is looking for adventure and opportunity. We expect to see more growth in this age group in the future,” Williams said.

While it still costs a little more to live here than other places in the Lower 48, those costs are driven by inflation and the cost of energy, Williams said. A projected inflation of 3.2 percent in 2006 was driven by energy prices that rose 51 percent.