The relationship between obesity and arthritis remains unclear. Arthritis shows an increasing trend with increasing body weights . West Virginia reports high obesity levels. This study attempts to examine the impacts of obesity on arthritis and to estimate the cost of arthritis linked to obesity in West Virginia. Data collected from Behavioral Risk Factor Surveillance System (BRFSS) for 2001 and 2009 are used for the analysis [24; 25]. A system of simultaneous equations and a Logit analysis are used as estimation methods. The results reveal significant impacts of obesity on arthritis, and the impacts of employment and income growth on obesity and arthritis. The estimated total economic cost of arthritis linked to obesity is $200 million for West Virginia. As the obesity rate is in an increasing trend, reducing the costs of arthritis needs mitigating obesity. The study highlights the need for a comprehensive policy alternative in West Virginia.