Indices & Report Cards Created by Individual States

Led by Massachusetts, which released its first innovation index in 1997, states have been creating indices in an attempt to track changes and transformations in their own economies. Many of these indices look at some of the same characteristics such as investment capital, industrial productivity, technology workforce development, business development and many others.

The following outlines some of the similarities and differences in state indices. For the purpose of this comparison, indices from (Alaska, Maine, Maryland, Massachusetts, Mississippi and Washington) are used. A matrix presenting the common indicators among the state indices is available here.

All indices factor high-tech employment into their indices in some way. Washington, Maryland, Mississippi, and Massachusetts measure company openings while company closings are included in the index by Washington. Fast growth or “gazelle” firms are included by Washington, Massachusetts, and Mississippi.

Some sort of patent activity measure is included by all of the states except Mississippi. Mississippi, however, includes an incubator measure in their index. Massachusetts and Mississippi include measures of industrial clusters. Measures of Internet connectivity are included by Maine and Alaska. All indices except Washington include measures relating to annual average pay, wages or income overall or in specific industry sectors.

Each index also looks at SBIR awards received within the state, and Maine and Maryland also include STTR awards. Washington and Maryland include ATP awards as well. Funding for R&D is included in some form in all indices whether looking at total funding for R&D or breaking it down into federal, university, or industrial R&D. The availability of venture capital or investment is also measured in one or more ways by the indices.

Some indices include quality of life measures in their indices. Washington includes such measures as traffic congestion, housing affordability and crime rates among others. All indices include measures of educational attainment as well. Some look at science and engineering graduate students, Ph.D.s in the workforce, standardized test scores, degrees specifically awarded in science and technology, and other measures of educational progression.

Some unique measures included in indices include ISO 9000 certification in Mississippi, FDA approval of medical devices in Massachusetts, tax burden in Washington, Alaska Gross State Product, and federal funding for not-for-profit labs in Maine. Many other measures are used in each indices other than the ones mentioned above. To review these and other state indices, follow the links provided below.

• Alaska Science and Technology Index - http://www.dced.state.ak.us/astf/admin/files/data/docs/TechIndex2002.pdf
• Maine Innovation Index - http://www.mstf.org/innovation_index/index.html
• Maryland Innovation and Technology Index -  http://www.marylandtedco.org/resources/publication_pdfs/TEDCO_7_9.pdf
• Index of the Massachusetts Innovation Economy - http://www.mtpc.org/NewsandReports/the_index.htm
• Benchmarks for the Next Michigan: Measuring Our Competitiveness - http://medc.michigan.org/
• Mississippi Innovation Index - http://www.technologyalliance.ms/innovation_index/index.html
• Washington Index of Innovation and Technology - http://www.watechcenter.org/techindex/index.html