Science and Technology in the Economy

Average Annual Federal SBIR Funding per $1 Million of Gross Domestic Product: 2003-05

  • 1st quartile
    ($825–$187)
  • 2nd quartile
    ($180–$98)
  • 3rd quartile
    ($96–$56)
  • 4th quartile
    ($53–$19)

Quartiles

Average annual federal SBIR funding per $1 million of gross domestic product: 2003–05
 
1st quartile
($825–$187)
2nd quartile
($180–$98)
3rd quartile
($96–$56)
4th quartile
($53–$19)
 
AlabamaArizonaArkansasAlaska
CaliforniaConnecticutDistrict of ColumbiaGeorgia
ColoradoDelawareFloridaIllinois
MarylandHawaiiIdahoIowa
MassachusettsMaineIndianaKansas
MontanaMichiganNevadaKentucky
New HampshireMinnesotaNorth CarolinaLouisiana
New MexicoNew JerseyNorth DakotaMississippi
Rhode IslandNew YorkOklahomaMissouri
UtahOhioSouth CarolinaNebraska
VermontOregonTexasSouth Dakota
VirginiaPennsylvaniaWisconsinTennessee
WashingtonWest VirginiaWyoming 
 
SOURCES: Small Business Administration, Office of Technology, SBIR program statistics (various years); and Bureau of Economic Analysis, Gross Domestic Product data. See Data Table.

Findings

  • Strong growth has occurred in the SBIR program in recent years as total annual awards have increased from nearly $1 billion in 1995–97 to nearly $1.9 billion in 2003–05.
  • The value of SBIR awards is not evenly distributed but is concentrated in relatively few states; the total of annual state awards may range from under $1 million to nearly $400 million.
  • Many of the states with the highest rankings on this indicator are locations of federal laboratories or well-recognized academic research institutions from which innovative small businesses have emerged.
  • States with a high ranking on this indicator also tend to rank high on the high-technology and venture capital indicators.

Description

Funds awarded through the federal Small Business Innovation Research (SBIR) program support technological innovation in small companies (i.e., companies with 500 or fewer employees). Awards are made to evaluate the feasibility and scientific merit of new technology (up to $100,000) and to develop the technology to a point where it can be commercialized (up to $750,000). The total award dollars include both Phase 1 and Phase 2 SBIR awards.

Because of year-to-year fluctuations, this indicator is calculated using 3-year averages. The average annual SBIR award dollars won by small businesses in a state are divided by the average annual gross domestic product. A high value indicates that small business firms in a state are doing cutting-edge development work that attracts federal support.

Data Table

Table 8-44
Average annual federal SBIR funding per $1 million of gross domestic product, by state: 1995–97, 1999–2001, and 2003–05
 
  Average SBIR funding
($thousands)
  Average state GDP ($millions)   SBIR funding ($)/
$1 million of GDP
State 1995–97 1999–2001 2003–05    1999–97 1999–2001 2003–05    1995–97 1999–2001 2003–05
 
United States 998,381 1,087,387 1,877,206   7,687,788 9,669,468 11,630,863   130 112 161
Alabama 21,780 18,081 34,425   98,165 115,060 141,085   222 157 244
Alaska 416 589 682   25,924 25,988 35,114   16 23 19
Arizona 14,899 20,981 29,176   113,354 157,470 196,152   131 133 149
Arkansas 146 1,459 4,989   56,168 67,114 81,480   3 22 61
California 222,268 224,699 396,052   965,361 1,256,262 1,512,772   230 179 262
Colorado 38,530 57,727 82,889   117,345 168,741 200,047   328 342 414
Connecticut 31,192 18,208 30,596   128,332 158,588 182,418   243 115 168
Delaware 4,307 4,785 6,756   29,220 41,706 52,591   147 115 128
District of Columbia 2,589 4,650 4,342   48,037 59,612 77,376   54 78 56
Florida 21,025 24,095 41,373   362,477 470,440 610,954   58 51 68
Georgia 7,493 11,933 17,979   214,879 289,137 337,970   35 41 53
Hawaii 2,993 3,800 8,306   37,151 40,216 50,665   81 94 164
Idaho 1,013 1,320 4,061   28,213 34,424 42,245   36 38 96
Illinois 12,097 17,018 25,857   379,354 461,469 533,420   32 37 48
Indiana 5,505 5,537 12,985   155,901 191,784 227,136   35 29 57
Iowa 665 1,704 3,777   77,010 89,406 110,490   9 19 34
Kansas 2,857 2,984 4,825   68,058 82,635 99,304   42 36 49
Kentucky 2,708 2,629 4,271   95,764 113,498 131,782   28 23 32
Louisiana 1,344 1,988 4,372   115,288 129,752 163,236   12 15 27
Maine 2,046 2,770 6,172   28,743 35,344 42,730   71 78 144
Maryland 42,552 53,590 103,691   144,187 181,466 228,970   295 295 453
Massachusetts 152,375 164,626 253,901   208,863 269,358 307,791   730 611 825
Michigan 20,248 17,629 41,062   264,568 332,602 364,853   77 53 113
Minnesota 17,242 14,500 26,135   141,752 182,733 220,748   122 79 118
Mississippi 1,006 1,739 3,675   56,030 64,421 76,193   18 27 48
Missouri 2,222 3,963 8,067   145,677 176,017 205,118   15 23 39
Montana 1,285 5,630 7,429   18,053 21,414 27,744   71 263 268
Nebraska 943 1,969 3,359   47,547 55,440 68,282   20 36 49
Nevada 1,656 2,751 6,871   54,003 73,284 99,109   31 38 69
New Hampshire 14,564 12,825 20,737   34,703 42,670 51,324   420 301 404
New Jersey 30,943 32,380 49,318   281,557 345,025 408,629   110 94 121
New Mexico 18,184 21,530 22,009   44,225 50,361 63,674   411 428 346
New York 47,360 40,693 88,804   630,846 771,996 906,645   75 53 98
North Carolina 11,556 12,646 28,500   203,755 274,008 327,113   57 46 87
North Dakota 742 1,391 2,020   15,552 17,711 23,107   48 79 87
Ohio 34,970 43,771 76,282   308,011 369,113 423,068   114 119 180
Oklahoma 2,135 2,943 8,718   74,657 89,102 112,137   29 33 78
Oregon 14,841 13,359 22,383   89,588 109,208 132,828   166 122 169
Pennsylvania 34,431 37,231 73,221   327,334 390,814 463,770   105 95 158
Rhode Island 2,417 3,791 8,200   27,094 33,200 41,731   89 114 196
South Carolina 1,072 3,439 7,927   90,070 112,824 133,440   12 30 59
South Dakota 681 1,011 1,047   18,793 22,861 29,159   36 44 36
Tennessee 8,812 9,078 9,660   142,663 175,027 213,225   62 52 45
Texas 33,955 40,169 80,597   554,252 719,492 907,514   61 56 89
Utah 9,660 9,285 15,231   50,776 67,170 81,617   190 138 187
Vermont 2,820 3,477 5,875   14,661 17,799 21,878   192 195 269
Virginia 60,204 64,819 101,364   196,908 260,061 326,233   306 249 311
Washington 23,336 25,187 48,596   162,503 220,700 254,859   144 114 191
West Virginia 503 2,516 6,677   37,408 41,982 49,815   13 60 134
Wisconsin 8,930 11,030 19,944   141,561 175,562 207,053   63 63 96
Wyoming 863 1,462 2,021   15,447 17,401 24,269   56 84 83
 
Puerto Rico 23 207 503   45,392 62,917 78,896   1 3 6
 

GDP = gross domestic product; SBIR = Small Business Innovation Research

NOTES: GDP reported in current dollars.

SOURCES: Small Business Administration, Office of Technology, SBIR program statistics (various years); Bureau of Economic Analysis, Gross Domestic Product data; and Government of Puerto Rico, Office of the Governor.

Science and Engineering Indicators 2008

Excel.Source Data
  • 1st quartile
    ($825–$187)
  • 2nd quartile
    ($180–$98)
  • 3rd quartile
    ($96–$56)
  • 4th quartile
    ($53–$19)

Quartiles

Average annual federal SBIR funding per $1 million of gross domestic product: 2003–05
 
1st quartile
($825–$187)
2nd quartile
($180–$98)
3rd quartile
($96–$56)
4th quartile
($53–$19)
 
AlabamaArizonaArkansasAlaska
CaliforniaConnecticutDistrict of ColumbiaGeorgia
ColoradoDelawareFloridaIllinois
MarylandHawaiiIdahoIowa
MassachusettsMaineIndianaKansas
MontanaMichiganNevadaKentucky
New HampshireMinnesotaNorth CarolinaLouisiana
New MexicoNew JerseyNorth DakotaMississippi
Rhode IslandNew YorkOklahomaMissouri
UtahOhioSouth CarolinaNebraska
VermontOregonTexasSouth Dakota
VirginiaPennsylvaniaWisconsinTennessee
WashingtonWest VirginiaWyoming 
 
SOURCES: Small Business Administration, Office of Technology, SBIR program statistics (various years); and Bureau of Economic Analysis, Gross Domestic Product data. See Data Table.

Findings

  • Strong growth has occurred in the SBIR program in recent years as total annual awards have increased from nearly $1 billion in 1995–97 to nearly $1.9 billion in 2003–05.
  • The value of SBIR awards is not evenly distributed but is concentrated in relatively few states; the total of annual state awards may range from under $1 million to nearly $400 million.
  • Many of the states with the highest rankings on this indicator are locations of federal laboratories or well-recognized academic research institutions from which innovative small businesses have emerged.
  • States with a high ranking on this indicator also tend to rank high on the high-technology and venture capital indicators.

Description

Funds awarded through the federal Small Business Innovation Research (SBIR) program support technological innovation in small companies (i.e., companies with 500 or fewer employees). Awards are made to evaluate the feasibility and scientific merit of new technology (up to $100,000) and to develop the technology to a point where it can be commercialized (up to $750,000). The total award dollars include both Phase 1 and Phase 2 SBIR awards.

Because of year-to-year fluctuations, this indicator is calculated using 3-year averages. The average annual SBIR award dollars won by small businesses in a state are divided by the average annual gross domestic product. A high value indicates that small business firms in a state are doing cutting-edge development work that attracts federal support.

Data Table

Table 8-44
Average annual federal SBIR funding per $1 million of gross domestic product, by state: 1995–97, 1999–2001, and 2003–05
 
  Average SBIR funding
($thousands)
  Average state GDP ($millions)   SBIR funding ($)/
$1 million of GDP
State 1995–97 1999–2001 2003–05    1999–97 1999–2001 2003–05    1995–97 1999–2001 2003–05
 
United States 998,381 1,087,387 1,877,206   7,687,788 9,669,468 11,630,863   130 112 161
Alabama 21,780 18,081 34,425   98,165 115,060 141,085   222 157 244
Alaska 416 589 682   25,924 25,988 35,114   16 23 19
Arizona 14,899 20,981 29,176   113,354 157,470 196,152   131 133 149
Arkansas 146 1,459 4,989   56,168 67,114 81,480   3 22 61
California 222,268 224,699 396,052   965,361 1,256,262 1,512,772   230 179 262
Colorado 38,530 57,727 82,889   117,345 168,741 200,047   328 342 414
Connecticut 31,192 18,208 30,596   128,332 158,588 182,418   243 115 168
Delaware 4,307 4,785 6,756   29,220 41,706 52,591   147 115 128
District of Columbia 2,589 4,650 4,342   48,037 59,612 77,376   54 78 56
Florida 21,025 24,095 41,373   362,477 470,440 610,954   58 51 68
Georgia 7,493 11,933 17,979   214,879 289,137 337,970   35 41 53
Hawaii 2,993 3,800 8,306   37,151 40,216 50,665   81 94 164
Idaho 1,013 1,320 4,061   28,213 34,424 42,245   36 38 96
Illinois 12,097 17,018 25,857   379,354 461,469 533,420   32 37 48
Indiana 5,505 5,537 12,985   155,901 191,784 227,136   35 29 57
Iowa 665 1,704 3,777   77,010 89,406 110,490   9 19 34
Kansas 2,857 2,984 4,825   68,058 82,635 99,304   42 36 49
Kentucky 2,708 2,629 4,271   95,764 113,498 131,782   28 23 32
Louisiana 1,344 1,988 4,372   115,288 129,752 163,236   12 15 27
Maine 2,046 2,770 6,172   28,743 35,344 42,730   71 78 144
Maryland 42,552 53,590 103,691   144,187 181,466 228,970   295 295 453
Massachusetts 152,375 164,626 253,901   208,863 269,358 307,791   730 611 825
Michigan 20,248 17,629 41,062   264,568 332,602 364,853   77 53 113
Minnesota 17,242 14,500 26,135   141,752 182,733 220,748   122 79 118
Mississippi 1,006 1,739 3,675   56,030 64,421 76,193   18 27 48
Missouri 2,222 3,963 8,067   145,677 176,017 205,118   15 23 39
Montana 1,285 5,630 7,429   18,053 21,414 27,744   71 263 268
Nebraska 943 1,969 3,359   47,547 55,440 68,282   20 36 49
Nevada 1,656 2,751 6,871   54,003 73,284 99,109   31 38 69
New Hampshire 14,564 12,825 20,737   34,703 42,670 51,324   420 301 404
New Jersey 30,943 32,380 49,318   281,557 345,025 408,629   110 94 121
New Mexico 18,184 21,530 22,009   44,225 50,361 63,674   411 428 346
New York 47,360 40,693 88,804   630,846 771,996 906,645   75 53 98
North Carolina 11,556 12,646 28,500   203,755 274,008 327,113   57 46 87
North Dakota 742 1,391 2,020   15,552 17,711 23,107   48 79 87
Ohio 34,970 43,771 76,282   308,011 369,113 423,068   114 119 180
Oklahoma 2,135 2,943 8,718   74,657 89,102 112,137   29 33 78
Oregon 14,841 13,359 22,383   89,588 109,208 132,828   166 122 169
Pennsylvania 34,431 37,231 73,221   327,334 390,814 463,770   105 95 158
Rhode Island 2,417 3,791 8,200   27,094 33,200 41,731   89 114 196
South Carolina 1,072 3,439 7,927   90,070 112,824 133,440   12 30 59
South Dakota 681 1,011 1,047   18,793 22,861 29,159   36 44 36
Tennessee 8,812 9,078 9,660   142,663 175,027 213,225   62 52 45
Texas 33,955 40,169 80,597   554,252 719,492 907,514   61 56 89
Utah 9,660 9,285 15,231   50,776 67,170 81,617   190 138 187
Vermont 2,820 3,477 5,875   14,661 17,799 21,878   192 195 269
Virginia 60,204 64,819 101,364   196,908 260,061 326,233   306 249 311
Washington 23,336 25,187 48,596   162,503 220,700 254,859   144 114 191
West Virginia 503 2,516 6,677   37,408 41,982 49,815   13 60 134
Wisconsin 8,930 11,030 19,944   141,561 175,562 207,053   63 63 96
Wyoming 863 1,462 2,021   15,447 17,401 24,269   56 84 83
 
Puerto Rico 23 207 503   45,392 62,917 78,896   1 3 6
 

GDP = gross domestic product; SBIR = Small Business Innovation Research

NOTES: GDP reported in current dollars.

SOURCES: Small Business Administration, Office of Technology, SBIR program statistics (various years); Bureau of Economic Analysis, Gross Domestic Product data; and Government of Puerto Rico, Office of the Governor.

Science and Engineering Indicators 2008

Excel.Source Data
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