Science and Technology in the Economy

High-Technology Share of All Business Establishments: 2004

  • 1st quartile
    (15.42%–9.07%)
  • 2nd quartile
    (8.95%–7.26%)
  • 3rd quartile
    (7.25%–6.36%)
  • 4th quartile
    (6.35%–4.68%)

Quartiles

High-technology share of all business establishments: 2004
 
1st quartile
(15.42%–9.07%)
2nd Quartile
(8.95%–7.26%)
3rd Quartile
(7.25%–6.36%)
4th Quartile
(6.35%–4.68%)
 
California Arizona Alabama Idaho
Colorado Connecticut Alaska Iowa
Delaware Florida Arkansas Kentucky
District of Columbia Illinois Hawaii Maine
Georgia Kansas Indiana Mississippi
Maryland Minnesota Louisiana Missouri
Massachusetts New Mexico Michigan Nebraska
Nevada North Carolina Montana North Dakota
New Hampshire Ohio New York South Carolina
New Jersey Oklahoma Rhode Island South Dakota
Texas Oregon Vermont Tennessee
Utah Pennsylvania Wisconsin West Virginia
Virginia Washington Wyoming  
 
SOURCE: Census Bureau, 1989–2004 Business Information Tracking Series, special tabulations. See Data Table.

Findings

  • The number of establishments in high-technology industries rose from more than 590,000 in 2003 to nearly 604,000 in 2004, an increase of about 14,000 or 2%.
  • The percentage of U.S. establishments in high-technology industries grew from 8.17% to 8.19% of the total business establishments during the 2003–04 period. However, in 22 states the high-technology share of all business establishments declined in 2004 relative to 2003.
  • Between 2003 and 2004, the largest growth in the number of establishments in high-technology industries occurred in Florida and California, which added 2,000 and 1,700 establishments, respectively.
  • The state distribution of this indicator is similar to that of three other indicators: bachelor's degree holders, S&E doctoral degree holders, and S&E occupations, all expressed as a share of the workforce.

Description

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 in technology-oriented occupations is at least twice the average proportion for all industries. State economies with a high percentage of 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 the years 2003 and 2004 were based on their classification according to the 2002 edition of the North American Industry Classification System (NAICS). A list of the 46 industries (by 4-digit NAICS code) that are defined as high-technology can be found in the Technical Note at the end of this chapter. Data for earlier years are not directly comparable.

Data Table

Table 8-41
High-technology share of all business establishments, by state: 2003 and 2004
 
  High-technology
establishments
  All business
establishments
  High-technology/
business
establishments (%)
State 2003 2004    2003 2004    2003 2004
 
United States 590,417 603,642   7,223,240 7,366,978   8.17 8.19
Alabama 6,347 6,407   99,453 100,521   6.38 6.37
Alaska 1,345 1,358   19,037 19,309   7.07 7.03
Arizona 10,433 10,901   120,966 125,330   8.62 8.70
Arkansas 4,012 4,142   64,058 65,127   6.26 6.36
California 77,614 79,288   822,751 838,615   9.43 9.45
Colorado 15,532 16,027   143,398 146,937   10.83 10.91
Connecticut 7,827 7,794   91,207 92,710   8.58 8.41
Delaware 3,964 3,907   24,739 25,344   16.02 15.42
District of Columbia 2,589 2,695   19,357 19,503   13.38 13.82
Florida 38,118 40,165   458,823 483,693   8.31 8.30
Georgia 18,820 19,424   208,350 214,200   9.03 9.07
Hawaii 2,097 2,152   30,950 31,538   6.78 6.82
Idaho 2,515 2,582   39,582 41,205   6.35 6.27
Illinois 27,606 28,200   310,589 315,093   8.89 8.95
Indiana 9,626 9,858   147,073 149,050   6.55 6.61
Iowa 4,316 4,324   80,745 81,334   5.35 5.32
Kansas 5,716 5,900   74,637 75,600   7.66 7.80
Kentucky 5,453 5,585   90,358 91,598   6.03 6.10
Louisiana 7,218 7,192   101,933 102,866   7.08 6.99
Maine 2,466 2,541   40,519 41,131   6.09 6.18
Maryland 13,428 13,974   132,782 135,699   10.11 10.30
Massachusetts 17,183 17,305   177,910 175,426   9.66 9.86
Michigan 16,937 16,988   236,221 237,392   7.17 7.16
Minnesota 12,834 13,055   145,364 148,276   8.83 8.80
Mississippi 3,269 3,274   59,565 60,364   5.49 5.42
Missouri 9,562 9,745   149,753 153,584   6.39 6.35
Montana 2,108 2,229   33,616 34,570   6.27 6.45
Nebraska 2,797 2,864   50,213 50,803   5.57 5.64
Nevada 5,387 5,493   53,080 55,713   10.15 9.86
New Hampshire 3,511 3,559   38,119 38,707   9.21 9.19
New Jersey 24,286 24,256   237,097 240,013   10.24 10.11
New Mexico 3,322 3,385   43,386 44,071   7.66 7.68
New York 35,926 36,706   500,559 509,873   7.18 7.20
North Carolina 14,869 15,426   207,500 212,457   7.17 7.26
North Dakota 964 972   20,371 20,763   4.73 4.68
Ohio 19,875 20,120   269,202 271,078   7.38 7.42
Oklahoma 6,859 6,965   85,633 87,180   8.01 7.99
Oregon 7,500 7,659   102,462 104,966   7.32 7.30
Pennsylvania 22,266 22,796   297,040 300,832   7.50 7.58
Rhode Island 1,976 2,043   29,172 29,900   6.77 6.83
South Carolina 5,869 6,048   98,735 100,947   5.94 5.99
South Dakota 1,206 1,234   24,314 24,693   4.96 5.00
Tennessee 8,196 8,226   129,458 131,355   6.33 6.26
Texas 45,062 45,522   481,804 489,782   9.35 9.29
Utah 5,474 5,716   60,011 62,644   9.12 9.12
Vermont 1,453 1,498   21,747 22,072   6.68 6.79
Virginia 18,868 19,758   182,783 188,533   10.32 10.48
Washington 13,171 13,480   166,229 170,848   7.92 7.89
West Virginia 2,257 2,259   40,225 40,732   5.61 5.55
Wisconsin 9,035 9,249   141,560 143,739   6.38 6.43
Wyoming 1,353 1,396   18,804 19,262   7.20 7.25
 
Puerto Rico NA NA   NA NA   NA NA
 

NA = not available

SOURCE: Census Bureau, 1989–2004 Business Information Tracking Series, special tabulations.

Science and Engineering Indicators 2008

Excel.Source Data
  • 1st quartile
    (15.42%–9.07%)
  • 2nd quartile
    (8.95%–7.26%)
  • 3rd quartile
    (7.25%–6.36%)
  • 4th quartile
    (6.35%–4.68%)

Quartiles

High-technology share of all business establishments: 2004
 
1st quartile
(15.42%–9.07%)
2nd Quartile
(8.95%–7.26%)
3rd Quartile
(7.25%–6.36%)
4th Quartile
(6.35%–4.68%)
 
California Arizona Alabama Idaho
Colorado Connecticut Alaska Iowa
Delaware Florida Arkansas Kentucky
District of Columbia Illinois Hawaii Maine
Georgia Kansas Indiana Mississippi
Maryland Minnesota Louisiana Missouri
Massachusetts New Mexico Michigan Nebraska
Nevada North Carolina Montana North Dakota
New Hampshire Ohio New York South Carolina
New Jersey Oklahoma Rhode Island South Dakota
Texas Oregon Vermont Tennessee
Utah Pennsylvania Wisconsin West Virginia
Virginia Washington Wyoming  
 
SOURCE: Census Bureau, 1989–2004 Business Information Tracking Series, special tabulations. See Data Table.

Findings

  • The number of establishments in high-technology industries rose from more than 590,000 in 2003 to nearly 604,000 in 2004, an increase of about 14,000 or 2%.
  • The percentage of U.S. establishments in high-technology industries grew from 8.17% to 8.19% of the total business establishments during the 2003–04 period. However, in 22 states the high-technology share of all business establishments declined in 2004 relative to 2003.
  • Between 2003 and 2004, the largest growth in the number of establishments in high-technology industries occurred in Florida and California, which added 2,000 and 1,700 establishments, respectively.
  • The state distribution of this indicator is similar to that of three other indicators: bachelor's degree holders, S&E doctoral degree holders, and S&E occupations, all expressed as a share of the workforce.

Description

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 in technology-oriented occupations is at least twice the average proportion for all industries. State economies with a high percentage of 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 the years 2003 and 2004 were based on their classification according to the 2002 edition of the North American Industry Classification System (NAICS). A list of the 46 industries (by 4-digit NAICS code) that are defined as high-technology can be found in the Technical Note at the end of this chapter. Data for earlier years are not directly comparable.

Data Table

Table 8-41
High-technology share of all business establishments, by state: 2003 and 2004
 
  High-technology
establishments
  All business
establishments
  High-technology/
business
establishments (%)
State 2003 2004    2003 2004    2003 2004
 
United States 590,417 603,642   7,223,240 7,366,978   8.17 8.19
Alabama 6,347 6,407   99,453 100,521   6.38 6.37
Alaska 1,345 1,358   19,037 19,309   7.07 7.03
Arizona 10,433 10,901   120,966 125,330   8.62 8.70
Arkansas 4,012 4,142   64,058 65,127   6.26 6.36
California 77,614 79,288   822,751 838,615   9.43 9.45
Colorado 15,532 16,027   143,398 146,937   10.83 10.91
Connecticut 7,827 7,794   91,207 92,710   8.58 8.41
Delaware 3,964 3,907   24,739 25,344   16.02 15.42
District of Columbia 2,589 2,695   19,357 19,503   13.38 13.82
Florida 38,118 40,165   458,823 483,693   8.31 8.30
Georgia 18,820 19,424   208,350 214,200   9.03 9.07
Hawaii 2,097 2,152   30,950 31,538   6.78 6.82
Idaho 2,515 2,582   39,582 41,205   6.35 6.27
Illinois 27,606 28,200   310,589 315,093   8.89 8.95
Indiana 9,626 9,858   147,073 149,050   6.55 6.61
Iowa 4,316 4,324   80,745 81,334   5.35 5.32
Kansas 5,716 5,900   74,637 75,600   7.66 7.80
Kentucky 5,453 5,585   90,358 91,598   6.03 6.10
Louisiana 7,218 7,192   101,933 102,866   7.08 6.99
Maine 2,466 2,541   40,519 41,131   6.09 6.18
Maryland 13,428 13,974   132,782 135,699   10.11 10.30
Massachusetts 17,183 17,305   177,910 175,426   9.66 9.86
Michigan 16,937 16,988   236,221 237,392   7.17 7.16
Minnesota 12,834 13,055   145,364 148,276   8.83 8.80
Mississippi 3,269 3,274   59,565 60,364   5.49 5.42
Missouri 9,562 9,745   149,753 153,584   6.39 6.35
Montana 2,108 2,229   33,616 34,570   6.27 6.45
Nebraska 2,797 2,864   50,213 50,803   5.57 5.64
Nevada 5,387 5,493   53,080 55,713   10.15 9.86
New Hampshire 3,511 3,559   38,119 38,707   9.21 9.19
New Jersey 24,286 24,256   237,097 240,013   10.24 10.11
New Mexico 3,322 3,385   43,386 44,071   7.66 7.68
New York 35,926 36,706   500,559 509,873   7.18 7.20
North Carolina 14,869 15,426   207,500 212,457   7.17 7.26
North Dakota 964 972   20,371 20,763   4.73 4.68
Ohio 19,875 20,120   269,202 271,078   7.38 7.42
Oklahoma 6,859 6,965   85,633 87,180   8.01 7.99
Oregon 7,500 7,659   102,462 104,966   7.32 7.30
Pennsylvania 22,266 22,796   297,040 300,832   7.50 7.58
Rhode Island 1,976 2,043   29,172 29,900   6.77 6.83
South Carolina 5,869 6,048   98,735 100,947   5.94 5.99
South Dakota 1,206 1,234   24,314 24,693   4.96 5.00
Tennessee 8,196 8,226   129,458 131,355   6.33 6.26
Texas 45,062 45,522   481,804 489,782   9.35 9.29
Utah 5,474 5,716   60,011 62,644   9.12 9.12
Vermont 1,453 1,498   21,747 22,072   6.68 6.79
Virginia 18,868 19,758   182,783 188,533   10.32 10.48
Washington 13,171 13,480   166,229 170,848   7.92 7.89
West Virginia 2,257 2,259   40,225 40,732   5.61 5.55
Wisconsin 9,035 9,249   141,560 143,739   6.38 6.43
Wyoming 1,353 1,396   18,804 19,262   7.20 7.25
 
Puerto Rico NA NA   NA NA   NA NA
 

NA = not available

SOURCE: Census Bureau, 1989–2004 Business Information Tracking Series, special tabulations.

Science and Engineering Indicators 2008

Excel.Source Data
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