New State Science and Technology Report Released

The Department of Commerce's Office of Technology Policy (OTP) has just released its 3rd annual report on state science and technology indicators. This is a must read for all of you working on technology-based economic development. In this day and age, that's everyone. Right?

So, what does the mammoth 3-volume report say? Here are just a few interesting observations about the report.

First of all, the report is based upon the Bureau of Labor Statistics (BLS) new definition of high tech industries, using the NAICS classification system. What's NAICS? It stands for the North American Industry Classification System, which is the new updated system replacing the old SIC (Standard Industry Classification Code) system.

Second, the report contains interesting and thought-provoking input and outcome metrics for measuring science and technology activities related to the economy. We have been measuring inputs for a long time, but data on outcomes has been more scarce. Both are important, and of course if you are concerned about productivity then you want to know how we are using inputs to produce outcomes.

Third, total performed R&D spending was $245 billion across the 50 states, which equals $24.54 per $1,000 of gross domestic product (GDP). Why is this important? It is important because R&D is a leading driver of economic growth in a technology and knowledge-based economy.

Fourth, which states had the highest total R&D spending per $1,000 of gross state product (GSP)? The top performers were:

* Michigan, $58.06.
* New Mexico, $56.75.
* Washington, $47.81.
* Maryland, $46.39.
* Massachusetts, $45.64.
* Delaware, $42.46.
* Rhode Island, $41.18.
* California, $40.97.
* Idaho, $38.32.
* New Jersey, $36.17.

Note: this is a measure of the R&D intensity of state economic output, it is not a measure of the dollar amount spent on R&D. An entirely different set of rankings would emerge for the latter measure.

Fifth, the report provides science and technology profiles for each state, containing lots of useful information about both the input and output sides of the state's technology economy. For example, Michigan ranks 1st in both total R&D spending per $1,000 of GSP and industry R&D spending per $1,000 of GSP. Meanwhile, the state ranked only 22nd in university R&D spending per $1,000 of GSP and 25th in Federal R&D spending per $1,000 of GSP.

To download the 3-part report, simply click here.