Kentucky is noted for the distilling of Bourbon whiskey and for the breeding of thoroughbred racehorses. Tobacco, in which Kentucky is second only to North Carolina among U.S. producers, has long been the state's chief cash crop. Other important agricultural products are horses and mules, cattle, and corn. Dairy goods, hay (to which the largest share of the state's acreage is devoted), and soybeans are also economically important.
Kentucky derives the greatest share of its income, however, from industry. Even Lexington, one of the world's largest loose-leaf tobacco markets, is industrialized. The state's chief manufactures include electrical equipment, food products, automobiles, nonelectrical machinery, chemicals, and apparel. Printing and publishing as well as tourism have become important industries. Kentucky is also one of the major U.S. producers of coal, the state's most valuable mineral; stone, petroleum, and natural gas are also extracted.
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