powering advanced industries

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Washington, DC / February 20, 2013 Metropolitan Policy Program at BROOKINGS POWERING ADVANCED INDUSTRIES State by State

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Powering Advanced Industries, State by State. Presented by Bruce Katz at the Brookings Institution on February 20, 2014.

TRANSCRIPT

Page 1: Powering Advanced Industries

Washington, DC / February 20, 2013Metropolitan Policy Programat BROOKINGS

POWERING ADVANCED INDUSTRIESState by State

Page 2: Powering Advanced Industries

jobs needed post-recession7.8 million

More Jobs

Better Jobs

poor or near poor in 2011107 million

poor or near poor in 200081 million

Page 3: Powering Advanced Industries

HUMAN CAPITALINNOVATION

MANUFACTURING

INFRASTRUCTURE

STEM

ADVANCED ENERGY

EXPORTS

R&DOPPORTUNITY

CONSUMPTION

DEBTCONSUMPTION

DEBTDEBTCONSUMPTION

CONSUMPTION DEBTDEBT

CONSUMPTIONDEBT

Pre-Recession Economy Next Economy

Page 4: Powering Advanced Industries

85% 71%Drop in natural gas prices

2008-2012

Rise in Chinese manufacturing wages

2008-2012

Major tech and production trends are changing the nature and location of

manufacturing

Page 5: Powering Advanced Industries

HUMAN CAPITALINNOVATION

MANUFACTURING

INFRASTRUCTURE

STEM

ADVANCED ENERGY

EXPORTS

R&DOPPORTUNITY

Next Economy

Advanced IndustriesR&D-intensive industries that concentrate the nation’s science, technology, engineering, math and computer workforce

Page 6: Powering Advanced Industries

Software Computer Systems Design

Telecommunications R&D Consulting Services

Services

Pharmaceuticals AdvancedMachinery

Medical EquipmentMotor Vehicles & Parts

Computer & Electronic Devices

Aerospace

Manufacturing

Advanced Industries

Page 7: Powering Advanced Industries

Advanced IndustriesPay & Skills

average advanced industryjob wage

$94,000

advanced industry jobs requireless than a 4-year degree

1 out of 2

Page 8: Powering Advanced Industries

Engineers & Architects

30.3%

Exports

31.2%

Patents

60.0%

Private Sector R&D

81.3%

Private Sector GDP

10.6%

Jobs

5.1%

Advanced IndustriesShare of US Totals

Page 9: Powering Advanced Industries

Private Sector GDP

AI Share of Job Growth Since 2010

9.9% 10.6%

AI Share of GDP Growth Since 2010

20.7%

Advanced IndustriesShare of Economic Recovery Since 2010

Jobs

5.1%

Page 10: Powering Advanced Industries

Drive Productivity in Other Industries

Stimulate Local Economies

Support LongSupply Chains

Develop Technology that Transforms Lives

Advanced Industries

Page 11: Powering Advanced Industries

Colorado Tennessee

Page 12: Powering Advanced Industries

Tennessee Auto Industry

auto industry workers94,000

auto industry workersin the supply chain

79%

auto industry contribution toTennessee GDP

$4.7 b

Page 13: Powering Advanced Industries

$92,500

Colorado Space Industry

space industry workers66,000

space industry averagewage

space industry contribution toColorado GDP

$8.7 b

Page 14: Powering Advanced Industries

Drive continuous industry development

Develop the workforce pipeline to strengthen AI skills base

Commit to innovation at all levels of the supply chain

Policies that states can pursue to power Advanced Industries

Page 15: Powering Advanced Industries

Washington, DC / February 20, 2013Metropolitan Policy Programat BROOKINGS

POWERING ADVANCED INDUSTRIESState by State