Chapter 8: State Indicators

Science and Technology in the Economy

Select Indicator:

Quartiles | Findings | Description

High-technology share of all business establishments: 2002

High-technology share of all business establishments: 2002

High-Technology Share of All Business Establishments: 2002.


High-technology share of all business establishments: 2002*

1st Quartile
2nd Quartile
3rd Quartile
4th Quartile
Arizona Connecticut Hawaii Alabama
California Delaware Idaho Alaska
Colorado Florida Indiana Arkansas
District of Columbia Georgia Kansas Iowa
Illinois Michigan Louisiana Kentucky
Maryland New York Maine Mississippi
Massachusetts North Carolina Missouri Nebraska
Minnesota Ohio Montana North Dakota
Nevada Oregon New Mexico South Dakota
New Hampshire Pennsylvania Oklahoma Tennessee
New Jersey Rhode Island South Carolina West Virginia
Utah Texas Vermont Wyoming
Virginia Washington Wisconsin
*States in alphabetical order, not data order.

SOURCES: U.S. Census Bureau, 1989-2002 Business Information Tracking Series, special tabulations; and County Business Patterns. See table 8-36.

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  • The number of establishments in high-technology industries rose from 402,000 in 1998 to 454,000 in 2002, an increase of about 13% within 4 years.

  • The percentage of U.S. establishments in high-technology industries grew from 5.8% to 6.3% of the total business establishments during the 1998–2002 period.

  • Between 1998 and 2002, the largest growth in the number of establishments in high-technology industries occurred in California and Florida, which added 9,400 and 5,200 establishments, respectively.

  • The state distribution of this indicator is similar to that of three other indicators: bachelor's degree holders, science and engineering doctoral degree holders, and S&E occupations, all expressed as a share of the workforce.

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This indicator measures the portion of a state’s business establishments that are classified as high-technology industries. High-technology industries are defined as those in which the proportion of employees both in research and development and in all technology occupations is at least twice the average proportion for all industries. State economies with a high percentage of their business establishments in high-technology industries are likely to be well positioned to take advantage of new technological developments.

The data pertaining to establishments for 1998 through 2002 were based on their classification according to the 1997 edition of the North American Industry Classification System.

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National Science Board.