Information Technology and Innovation Foundation

 State New Economy Index is to measure states’ economic structure. Index takes into account number of variables to measure state economies’ degrees of global integration. It uses 25 indicators, which are divided into 5 categories that best capture what is important about the New Economy:Knowledge jobs: Indicators measure employment of IT professionals outside the IT industry; jobs held by managers, professionals, and technicians; the educational attainment of the entire workforce; immigration of knowledge workers; migration of domestic knowledge workers; worker productivity in the manufacturing sector; and employment in high-wage traded services.Globalization: Indicators measure foreign direct investment (FDI), export orientation of manufacturing, and the share of each state’s output that goes to high-tech goods and services exports.Economic dynamism: Indicators measure the degree of business churn (i.e., the percentage of new business start-ups and failures); the number of fast-growing firms (businesses listed in the “Inc. 5000” index); the number and value of initial public stock offerings (IPOs) by companies; and the number of individual inventor patents granted.The digital economy: Indicators measure Internet and computer use by farmers; the degree to which state governments use information technologies to deliver services; adoption rates and speed of broadband telecommunications; and use of IT in the health care system.Innovation capacity: Indicators measure the number of jobs in high-tech industries such as electronics manufacturing, telecommunications, and biomedical industries; the number of scientists and engineers in the workforce; the number of patents granted; industry investment in research and development (R&D); non-industry investment in R&D; movement toward a clean-energy economy; and venture capital (VC) investment. Note Rank- 1 indicates highest level of Global Integration and 50 is least level of Global Integration