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Chapter 8. State Indicators

Science and Technology in the Economy


Average Annual Federal SBIR Funding per $1 Million of Gross Domestic Product


Quartiles

Average annual federal SBIR funding per $1 million of gross domestic product: 2006–08 (Dollars)
 
1st quartile
($626 – $148)
2nd quartile
($147 – $88)
3rd quartile
($76 – $37)
4th quartile
($33 – $12)
 
Alabama‡ Arizona Arkansas‡ Alaska‡
California Connecticut Florida District of Columbia
Colorado Delaware‡ Georgia Iowa
Maine‡ Hawaii‡ Idaho‡ Louisiana‡
Maryland Michigan Illinois Mississippi‡
Massachusetts Minnesota Indiana Nebraska‡
Montana‡ New Jersey Kansas‡ Nevada‡
New Hampshire‡ North Carolina Kentucky‡ North Dakota‡
New Mexico‡ Pennsylvania Missouri South Carolina‡
Ohio Rhode Island‡ New York South Dakota‡
Oregon Utah Oklahoma‡
Vermont‡ Washington Tennessee
Virginia Wisconsin Texas
West Virginia‡
Wyoming‡
 
‡ EPSCoR state

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

  • Significant growth has occurred in the SBIR program in recent years as total annual awards increased from about $1.1 billion in 1998–2000 to about $1.7 billion in 2006–08.
  • SBIR funds are concentrated in relatively few states; the total of annual state awards may range from less than $1 million to more than $300 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 tended 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 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 8-49
Average annual federal SBIR funding per $1 million of gross domestic product, by state: 1998–2000, 2002–04, and 2006–08
 
  Average SBIR funding
(current $thousands)
  Average state GDP
(current $millions)
  SBIR funding ($)/
$1 million GDP
State 1998–2000 2002–04 2006–08   1998–2000 2002–04 2006–08   1998–2000 2002–04 2006–08
 
United States 1,060,758 1,725,643 1,731,667   9,209,969 10,963,871 13,676,177   115 157 127
Alabama 19,304 33,144 38,477   111,052 131,847 164,792   174 251 233
Alaska 318 495 707   24,840 31,836 45,182   13 16 16
Arizona 20,428 28,534 28,187   148,211 182,467 244,438   138 156 115
Arkansas 1,443 3,240 6,631   64,759 76,675 94,855   22 42 70
California 217,278 360,660 340,849   1,184,540 1,422,133 1,800,632   183 254 189
Colorado 55,158 80,814 79,329   157,102 188,960 237,064   351 428 335
Connecticut 20,674 29,454 22,096   152,037 172,690 212,468   136 171 104
Delaware 3,814 4,156 6,172   39,247 48,739 60,512   97 85 102
District of Columbia 3,675 5,840 3,011   55,596 72,450 93,076   66 81 32
Florida 21,897 37,526 42,914   443,689 563,008 731,715   49 67 59
Georgia 11,278 16,484 16,813   274,527 321,024 390,223   41 51 43
Hawaii 3,583 5,772 7,581   38,792 46,777 61,352   92 123 124
Idaho 1,001 3,664 3,164   32,481 39,142 50,779   31 94 62
Illinois 15,985 22,500 27,053   443,933 510,618 609,086   36 44 44
Indiana 5,068 10,689 16,932   186,355 216,259 246,664   27 49 69
Iowa 1,561 4,875 4,290   86,655 103,834 128,891   18 47 33
Kansas 3,374 4,938 4,326   79,160 93,853 116,894   43 53 37
Kentucky 2,298 4,237 5,602   111,398 125,786 152,345   21 34 37
Louisiana 1,453 3,126 4,326   124,551 148,154 213,844   12 21 20
Maine 1,948 5,604 7,094   33,545 40,656 48,052   58 138 148
Maryland 51,664 93,258 77,717   171,231 215,216 266,532   302 433 292
Massachusetts 164,078 242,323 219,333   254,548 295,018 350,605   645 821 626
Michigan 21,486 33,544 43,965   324,273 357,314 380,089   66 94 116
Minnesota 13,374 24,805 24,991   174,288 210,064 253,304   77 118 99
Mississippi 1,546 3,232 1,040   62,605 72,301 88,305   25 45 12
Missouri 5,721 7,342 8,645   169,985 196,271 229,120   34 37 38
Montana 3,622 7,045 8,278   20,552 25,513 34,046   176 276 243
Nebraska 1,641 2,998 2,438   53,653 64,322 79,552   31 47 31
Nevada 1,830 7,772 3,364   68,732 89,770 127,167   27 87 26
New Hampshire 12,602 22,174 22,501   40,944 48,606 57,806   308 456 389
New Jersey 30,790 47,712 40,718   328,735 390,642 462,949   94 122 88
New Mexico 19,136 21,965 22,293   48,547 57,810 76,080   394 380 293
New York 42,872 75,707 79,435   731,452 856,081 1,091,942   59 88 73
North Carolina 13,936 22,739 35,124   259,759 308,945 393,523   54 74 89
North Dakota 1,110 1,960 918   17,180 21,430 28,261   65 91 32
Ohio 44,859 67,535 70,856   360,448 405,302 463,139   124 167 153
Oklahoma 3,054 6,630 6,820   84,106 104,044 138,622   36 64 49
Oregon 14,627 19,556 26,881   105,886 123,868 156,930   138 158 171
Pennsylvania 36,393 64,864 77,650   375,843 441,249 531,060   97 147 146
Rhode Island 2,353 7,783 6,753   31,330 39,446 46,666   75 197 145
South Carolina 2,296 7,397 4,630   108,041 127,106 151,808   21 58 30
South Dakota 1,244 1,291 493   21,815 27,785 34,300   57 46 14
Tennessee 8,342 9,411 12,256   168,457 202,218 243,916   50 47 50
Texas 39,651 71,023 77,916   675,146 837,983 1,144,532   59 85 68
Utah 9,621 14,299 15,315   63,857 76,327 104,466   151 187 147
Vermont 3,317 4,808 4,760   16,835 20,656 24,538   197 233 194
Virginia 60,913 98,276 96,609   243,330 304,390 382,864   250 323 252
Washington 26,052 46,713 45,128   210,710 241,841 308,449   124 193 146
West Virginia 1,306 5,719 2,153   40,694 47,063 58,460   32 122 37
Wisconsin 8,724 17,592 24,686   168,477 196,807 232,039   52 89 106
Wyoming 1,060 2,418 2,447   16,040 21,575 32,243   66 112 76
                       
Puerto Rico 236 216 8   57,876 75,220 NA   4 3 NA
 

NA = not available

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

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 2010

Source Data
 

Science and Engineering Indicators 2010   Arlington, VA (NSB 10-01) | January 2010