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Introduction
 
Overview & Methodology
 
The Rankings
 
Summary of Results

THE INDICATORS

PART I: KNOWLEDGE JOBS
 
Managerial, Professional, and Technical Jobs


Workforce Education
 
PART II: GLOBALIZATION
 
Export Focus of Manufacturing
 
PART III: ECONOMIC DYNAMISM
 
"Gazelle" Jobs

Job Churning

New Publicly Traded Companies
 
PART IV: THE DIGITAL ECONOMY
 
Online Population

Broadband Telecommunications Capacity

Computer Use in Schools

Commercial Internet Domain Names


Internet Backbone
 
PART V: INNOVATION CAPACITY
 
High-Tech Jobs

Degrees Granted in Science and Engineering

Patents

Academic Research and Development Funding

Venture Capital
 
ECONOMIC DEVELOPMENT STRATEGIES
 
Data Sources

 
The Metropolitan Areas and their Major Cities
 
Weighting Methodology
 
Endnotes
 
The Authors

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BROWSE BY METRO AREA:
The Metropolitan New Economy Index
PART I: KNOWLEDGE JOBS

Workforce Education

A weighted measure of the educational attainment (advanced degrees, bachelor's degrees, or some college course work) of the workforce.7

Why Is This Important? An educated workforce is critical to increasing productivity and fostering innovation. In fact, knowledge-based jobs (those requiring post secondary, vocational, or higher education) grew from 27 percent of total employment in 1983 to 31 percent in 1993, and are expected to grow to more than 33 percent in 2006. Metro areas with a more educated workforce are better positioned to capitalize on this trend.

Knowledge workers are important not only because the principal factor determining where high-tech firms locate is an adequate supply of skilled labor, but also because their presence boosts incomes. Paul Gottlieb found that from 1980 to 1997, the per capita incomes of metro areas with the most educated populations grew 1.8 percent in real terms per year, while those with the least-educated populations grew only 0.8 percent per year.8

Finally, entrepreneurs are more likely to have higher levels of education, and as entrepreneurial start-ups become more important to a region's economic success, having more knowledge workers increases entrepreneurial activity.

The Rankings: More highly educated individuals are more likely to move than less-educated individuals.9 As a result, metro areas that have attracted large numbers of people from other parts of the United States generally have a more educated workforce (e.g., San Francisco, Washington, D.C., Denver). Similarly, metro areas with strong higher education systems (e.g., Austin, Raleigh, Boston) also score well. Meanwhile, many metros with a low score have experienced net out-migration (for example, Grand Rapids, St. Louis, Milwaukee), have seen high levels of immigration from developing nations (e.g., Los Angeles, San Antonio, Miami), or have invested less in education (e.g. Greensboro, New Orleans, the Florida metros, Memphis).

Workforce Education
100th-76th Percentile
75th-51st Percentile
50th-26th Percentile
25th-1st Percentile
 
METRO AREAS BY RANK
Rank Metro Area Score
1 Washington 0.74
2 San Francisco 0.69
3 Denver 0.68
4 Minneapolis 0.68
5 Austin 0.67
6 Raleigh-Durham 0.66
7 Richmond 0.65
8 Houston 0.65
9 Seattle 0.64
10 Oklahoma City 0.64
11 Rochester 0.64
12 San Diego 0.63
13 Boston 0.63
14 New York 0.63
15 Sacramento 0.63
16 Salt Lake City 0.62
17 Norfolk 0.62
18 Buffalo 0.62
19 Cincinnati 0.61
20 Charlotte 0.61
21 Portland 0.61
22 Dayton 0.61
23 Philadelphia 0.60
24 Atlanta 0.60
25 Nashville 0.60
26 Cleveland 0.60
27 Columbus 0.59
28 Hartford 0.58
29 Pittsburgh 0.58
30 Detroit 0.58
31 Dallas 0.57
32 Milwaukee 0.56
33 Indianapolis 0.55
34 Las Vegas 0.55
35 St. Louis 0.54
36 Chicago 0.53
37 Louisville 0.53
38 Miami 0.53
39 Jacksonville 0.53
40 New Orleans 0.53
41 Memphis 0.53
42 Kansas City 0.52
43 Phoenix 0.52
44 Orlando 0.50
45 West Palm Beach 0.49
46 Greensboro 0.48
47 Tampa 0.46
48 Grand Rapids 0.45
49 San Antonio 0.44
50 Los Angeles 0.44
U.S. Average 0.48
Top 50 Metro Average 0.59
    
ALPHABETICALLY
Metro Area Rank Score
Atlanta 24 0.60
Austin 5 0.67
Boston 13 0.63
Buffalo 18 0.62
Charlotte 20 0.61
Chicago 36 0.53
Cincinnati 19 0.61
Cleveland 26 0.60
Columbus 27 0.59
Dallas 31 0.57
Dayton 22 0.61
Denver 3 0.68
Detroit 30 0.58
Grand Rapids 48 0.45
Greensboro 46 0.48
Hartford 28 0.58
Houston 8 0.65
Indianapolis 33 0.55
Jacksonville 39 0.53
Kansas City 42 0.52
Las Vegas 34 0.55
Los Angeles 50 0.44
Louisville 37 0.53
Memphis 41 0.53
Miami 38 0.53
Milwaukee 32 0.56
Minneapolis 4 0.68
Nashville 25 0.60
New Orleans 40 0.53
New York 14 0.63
Norfolk 17 0.62
Oklahoma City 10 0.64
Orlando 44 0.50
Philadelphia 23 0.60
Phoenix 43 0.52
Pittsburgh 29 0.58
Portland 21 0.61
Raleigh-Durham 6 0.66
Richmond 7 0.65
Rochester 11 0.64
Sacramento 15 0.63
Salt Lake City 16 0.62
San Antonio 49 0.44
San Diego 12 0.63
San Francisco 2 0.69
Seattle 9 0.64
St. Louis 35 0.54
Tampa 47 0.46
Washington 1 0.74
West Palm Beach 45 0.49

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Metro Index Home | Introduction | Overview &
Methodology
| The Rankings | Summary of Results
Development Strategies | Data Sources
Metro Areas | Endnotes | The Authors

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