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Fact Sheet
S&E Indicators 2004: State Rankings for R&D

May 4, 2004

In 2000, California, Michigan and New York held their positions as the top three states in U.S. research and development (R&D) spending, according to Science and Engineering (S&E) Indicators 2004. Together the three states accounted for a third of the $264.6 billion in R&D spending by U.S. industry, government, universities and nonprofit organizations.

Altogether, the top 20 states accounted for 87 percent of U.S. R&D expenditures in 2000. S&E Indicators 2004 ranks the states based on year 2000 dollar figures, the most recent year for which full information is available.

Eight states moved up the list in 2000. New Jersey climbed three spots, from seventh in 1999 to fourth, and Indiana moved up three to rejoin the list at 18th. Minnesota and Illinois each climbed two spots, while Washington, Virginia, Connecticut and Florida moved up one.

Six states moved down or out of the Top 20. Arizona fell the farthest, from 14th to 19th. Texas and Pennsylvania slipped three places; North Carolina, New Mexico and Georgia each dropped one spot; and Georgia slipped off the list, from 20th to 21st.

The list changes dramatically, however, if “R&D intensity”—a state’s R&D spending compared to its gross state product—is considered. The top three states are then Michigan, New Mexico and Washington.

For more state data, S&E Indicators 2004 also includes, for the first time, a state-by-state breakdown of a wide variety of statistics. The NSF Division of Science Resource Statistics also publishes an annual series, Science and Engineering State Profiles.

Science and Engineering Indicators traditionally has been the nation's most authoritative source for nationwide and statewide expenditures for R&D. The report contains detailed state data on university, industry and federal sources of R&D spending.

The Nation's Top 20 States for R&D Investments in 2000

2004 Indicators (2000 figures)


2002 Indicators (1999 figures)


Total U.S.

$264.6 billion

Total U.S.

$244.1 billion

1. California

$55.1 billion

1. California

$48.0 billion

2. Michigan

$18.9 billion

2. Michigan

$18.8 billion

3. New York

$13.6 billion

3. New York

$14.1 billion

4. New Jersey

$13.1 billion

4. Texas

$12.4 billion

5. Massachusetts

$13.0 billion

5. Massachusetts

$12.2 billion

6. Illinois

$12.8 billion

6. Pennsylvania

$10.7 billion

7. Texas

$11.6 billion

7. New Jersey

$10.5 billion

8. Washington

$10.5 billion

8. Illinois

$ 9.7 billion

9. Pennsylvania

$ 9.8 billion

9. Washington

$ 8.3 billion

10. Maryland

$ 8.6 billion

10. Maryland

$ 8.0 billion

11. Ohio

$ 7.7 billion

11. Ohio

$ 8.0 billion

12. Virginia

$ 5.1 billion

12. North Carolina

$ 5.3 billion

13. North Carolina

$ 5.0 billion

13. Virginia

$ 5.1 billion

14. Connecticut

$ 4.9 billion

14. Arizona

$ 5.0 billion

15. Florida

$ 4.7 billion

15. Connecticut

$ 4.4 billion

16. Minnesota

$ 4.3 billion

16. Florida

$ 4.3 billion

17. Colorado

$ 4.2 billion

17. Colorado

$ 4.2 billion

18. Indiana

$ 3.3 billion

18. Minnesota

$ 3.9 billion

19. Arizona

$ 3.11 billion

19. New Mexico

$ 3.3 billion

20. New Mexico

$ 3.09 billion

20. Georgia

$ 3.0 billion

Source: National Science Foundation, Science and Engineering Indicators 2004, Chapter 4 (Table 4-8) and Appendix Table 4-23.



See also:

Media Contacts
David Hart, NSF, (703) 292-7737, dhart@nsf.gov

The National Science Foundation (NSF) is an independent federal agency that supports fundamental research and education across all fields of science and engineering. In fiscal year (FY) 2016, its budget is $7.5 billion. NSF funds reach all 50 states through grants to nearly 2,000 colleges, universities and other institutions. Each year, NSF receives more than 48,000 competitive proposals for funding and makes about 12,000 new funding awards. NSF also awards about $626 million in professional and service contracts yearly.

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