CT JOB GROWTH COMPARED TO OTHER STATES AND OTHER STATES’ EFFORTS TO CREATE JOBS


September 23, 2008		2008-R-0517
CT JOB GROWTH COMPARED TO OTHER STATES AND OTHER STATES' EFFORTS TO CREATE JOBS

By: John Moran, Principal Analyst

You asked how Connecticut compares to other states in yearly job growth and what efforts other states are making to create new jobs.

This report covers Connecticut's job growth performance for the 10-year period from 1998 to 2007, and part of 2008, the eleventh year. Compared to the other states Connecticut's best annual growth rank during that time was 21^st in 2007 (the partial results for 2008 were higher at 18^th, but that may change by the end of 2008). Its lowest ranking was 48^th in 2002. See Table 1 for the Connecticut job growth rankings (see Attachment 1 for details on the job growth ranking of all 50 states). Job growth figures compare total nonfarm employment from one year to the next. The U.S. Bureau of Labor Statistics obtains the data through a nationwide survey of employers.

(For this report the BLS data was supplied by the Connecticut Department of Labor's Labor Market Research Division.)

Table 1: Connecticut National Job Growth Ranking

(1998-2008)

*Year*	*Rank*	*% Growth*
1998	29	2.02%
1999	42	1.29%
2000	28	1.06%
2001	25	-1.31%
2002	48	-1.31%
2003	43	-0.71%
2004	40	0.93%
2005	43	0.65%
2006	27	1.40%
2007	21	0.95%
2008*	18	0.05%*
Average	36	0.005%

*2008 ranking is based on January to July data.

Source: Connecticut Department of Labor's Labor Market Research Division and U.S. Bureau of Labor Statistics

OTHER STATES EFFORTS TO CREATE JOBS

Various states are pursuing numerous avenues meant to create jobs. This report lists several types of approaches.

Access to Capital for Small Businesses, Microenterprise Development

A number of states are attempting to make sure small loans are available to small businesses and microenterprises, which are seen as good prospects for creating jobs. A microenterprise is a business with five or fewer employees that requires no more than $35,000 in start-up capital.

A National Conference of State Legislatures (NCSL) brief on state efforts regarding microenterprise programs is available online at: www.ncsl.org/programs/pubs/lbriefs/2004/04LBMar_Microenterprise.pdf.

Corporation for Enterprise Development (CFED) information on state efforts can be found at: www.cfed.org/focus.m?parentid=32&siteid=40&id=40.

Attracting the Big Deal

Some legislatures, especially in the Southeast, have authorized deal closing funds that the governor can use in negotiating location deals with large corporations.

Below are links to some examples:

● Texas Enterprise Fund: http://governor.state.tx.us/priorities/economy/investing_for_growth/texas_enterprise_fund/

● Arkansas Quick Action Closing Fund: http://governor.arkansas.gov/initiatives_economic_development.html#3

● North Carolina's “One North Carolina Fund”: http://www.governor.state.nc.us/Highlights/OneNCAgenda.asp

Measuring State Economic Conditions

Some states are seeking to more accurately asses their economies and their preparedness to create the jobs expected to be in demand in the future. Maine, Mississippi, and Oregon are recent examples. They each have created “innovation indices” to gauge the condition of their economies and the performance of certain job development programs.

● Maine's Office of Innovation web page: http://www.maineinnovation.com/mie/default.asp

● Information on Mississippi's innovation index: http://www.innovationindex.ms/

● Oregon's innovation council: http://www.oregoninc.org/.

Attachment 1: State Job Growth Ranking by Year (1998-2008)

*1998 Rank*	*State*	*% Growth*	*1999 Rank*	*State*	*% Growth*
1	Nevada	4.81	1	Nevada	5.80
2	Arizona	3.58	2	Arizona	4.26
3	Texas	3.55	3	Colorado	3.51
4	California	3.54	4	Idaho	3.38
5	Colorado	3.43	5	South Dakota	3.24
6	South Carolina	3.43	6	Delaware	3.18
7	Florida	3.34	7	Georgia	3.13
8	Idaho	3.16	8	Vermont	3.11
9	Georgia	3.13	9	Maryland	3.09
10	New Hampshire	3.13	10	California	3.09
11	Virginia	3.02	11	Florida	2.90
12	Kansas	2.93	12	South Carolina	2.80
13	Maine	2.77	13	New Jersey	2.74
14	North Carolina	2.76	14	New York	2.70
15	Nebraska	2.74	15	Virginia	2.65
16	Delaware	2.71	16	Wyoming	2.61
17	Alaska	2.58	17	Utah	2.60
18	Oklahoma	2.55	18	Kentucky	2.55
19	Utah	2.51	19	New Hampshire	2.55
20	Indiana	2.45	20	Maine	2.54
21	Iowa	2.43	21	Rhode Island	2.52
22	Washington	2.41	22	Minnesota	2.51
23	Maryland	2.40	23	Arkansas	2.38
24	Wisconsin	2.37	24	Oregon	2.28
25	South Dakota	2.33	25	North Carolina	2.20
26	Kentucky	2.33	26	Washington	2.17
27	Montana	2.31	27	Wisconsin	2.16
28	Minnesota	2.06	28	Texas	2.16
29	Connecticut	2.02	29	Hawaii	2.09
30	Tennessee	2.00	30	Massachusetts	2.04
31	New Jersey	2.00	31	North Dakota	1.96
32	Illinois	2.00	32	Ohio	1.89
33	New York	1.99	33	Michigan	1.87
34	Massachusetts	1.87	34	Montana	1.81
35	Mississippi	1.86	35	Tennessee	1.79
36	Missouri	1.67	36	Indiana	1.77
37	Michigan	1.58	37	Pennsylvania	1.77
38	Ohio	1.47	38	Missouri	1.76
39	West Virginia	1.46	39	Nebraska	1.69
40	Rhode Island	1.46	40	New Mexico	1.55
41	Wyoming	1.41	41	Iowa	1.30
42	Pennsylvania	1.31	42	Connecticut	1.29
43	Alabama	1.26	43	Alabama	1.21
44	Arkansas	1.23	44	Oklahoma	1.13
45	Vermont	1.20	45	Mississippi	1.07
46	Oregon	1.00	46	Kansas	1.01
47	Louisiana	0.88	47	West Virginia	0.95
48	New Mexico	0.71	48	Illinois	0.92
49	North Dakota	0.66	49	Louisiana	0.73
50	Hawaii	0.13	50	Alaska	0.72

Attachment 1: Continued

*2000 Rank*	*State*	*% Growth*	*2001 Rank*	*State*	*% Growth*
1	Colorado	3.93	1	Wyoming	2.48
2	Nevada	3.81	2	Alaska	1.01
3	Florida	3.43	3	North Dakota	0.67
4	Idaho	3.40	4	Nebraska	0.54
5	California	3.37	5	New Mexico	0.45
6	Arizona	3.33	6	Montana	0.15
7	Hawaii	2.95	7	South Dakota	-0.13
8	Virginia	2.91	8	Maryland	-0.31
9	Massachusetts	2.88	9	West Virginia	-0.37
10	New Hampshire	2.76	10	Florida	-0.39
11	Texas	2.75	11	Idaho	-0.46
12	New Mexico	2.59	12	Kansas	-0.59
13	Maine	2.49	13	Oklahoma	-0.60
14	Vermont	2.44	14	Nevada	-0.75
15	Utah	2.42	15	Maine	-0.81
16	Maryland	2.30	16	New Jersey	-0.84
17	Wyoming	2.29	17	Rhode Island	-0.85
18	Alaska	2.29	18	Vermont	-0.86
19	Oklahoma	2.11	19	Louisiana	-0.96
20	New Jersey	2.02	20	Arkansas	-1.03
21	Rhode Island	1.93	21	Texas	-1.14
22	New York	1.83	22	Pennsylvania	-1.22
23	Washington	1.82	23	Missouri	-1.25
24	Minnesota	1.78	24	Arizona	-1.26
25	Georgia	1.50	25	Connecticut	-1.31
26	Oregon	1.49	26	Minnesota	-1.31
27	Pennsylvania	1.38	27	Delaware	-1.40
28	Connecticut	1.06	28	Utah	-1.44
29	Montana	0.88	29	New Hampshire	-1.51
30	West Virginia	0.86	30	Iowa	-1.74
31	Nebraska	0.86	31	California	-1.74
32	Kentucky	0.82	32	Alabama	-1.81
33	North Carolina	0.82	33	Georgia	-1.89
34	Louisiana	0.79	34	Wisconsin	-1.97
35	Michigan	0.79	35	Virginia	-1.99
36	Kansas	0.77	36	Hawaii	-2.08
37	Wisconsin	0.70	37	North Carolina	-2.10
38	Illinois	0.62	38	Mississippi	-2.10
39	Delaware	0.57	39	Illinois	-2.17
40	Tennessee	0.49	40	Kentucky	-2.48
41	South Dakota	0.37	41	Ohio	-2.49
42	North Dakota	0.06	42	Indiana	-2.51
43	Arkansas	0.04	43	Massachusetts	-2.55
44	Alabama	0.00	44	Tennessee	-2.57
45	Iowa	-0.09	45	Washington	-2.68
46	South Carolina	-0.11	46	New York	-2.70
47	Ohio	-0.15	47	Colorado	-2.72
48	Missouri	-0.48	48	South Carolina	-2.91
49	Indiana	-0.99	49	Oregon	-2.98
50	Mississippi	-1.05	50	Michigan	-3.69

Attachment 1: Continued

*2002 Rank*	*State*	*% Growth*	*2003 Rank*	*State*	*% Growth*
1	Alaska	3.35	1	Nevada	4.49
2	Hawaii	3.28	2	Arizona	2.24
3	Nevada	2.80	3	Wyoming	1.69
4	Montana	2.17	4	Hawaii	1.49
5	Idaho	1.76	5	New Mexico	1.48
6	New Mexico	1.76	6	Florida	1.31
7	Arizona	1.39	7	Vermont	1.24
8	Florida	1.21	8	Rhode Island	1.19
9	Rhode Island	0.82	9	Utah	1.12
10	Tennessee	0.58	10	Montana	1.05
11	North Dakota	0.58	11	Delaware	1.01
12	Maine	0.53	12	Louisiana	0.87
13	South Dakota	0.50	13	Virginia	0.86
14	Wyoming	0.32	14	New Hampshire	0.83
15	Kentucky	0.22	15	North Dakota	0.81
16	South Carolina	0.21	16	Maryland	0.75
17	Virginia	0.18	17	Alaska	0.74
18	Indiana	0.18	18	Washington	0.68
19	Wisconsin	0.16	19	Maine	0.66
20	Arkansas	0.13	20	Idaho	0.61
21	Utah	0.11	21	Nebraska	0.58
22	Maryland	0.08	22	Arkansas	0.55
23	California	0.05	23	New Jersey	0.30
24	Oregon	-0.03	24	South Dakota	0.26
25	New York	-0.16	25	Iowa	0.21
26	Washington	-0.17	26	Kentucky	0.20
27	Delaware	-0.17	27	South Carolina	0.18
28	Mississippi	-0.20	28	Tennessee	0.15
29	Minnesota	-0.21	29	Oregon	0.11
30	Texas	-0.29	30	West Virginia	0.04
31	Missouri	-0.33	31	Indiana	0.02
32	Louisiana	-0.33	32	Pennsylvania	0.02
33	Iowa	-0.39	33	Mississippi	0.01
34	Pennsylvania	-0.40	34	Wisconsin	-0.03
35	New Jersey	-0.41	35	Texas	-0.07
36	New Hampshire	-0.47	36	Alabama	-0.09
37	Michigan	-0.48	37	Minnesota	-0.13
38	North Carolina	-0.54	38	Georgia	-0.24
39	West Virginia	-0.60	39	California	-0.40
40	Colorado	-0.64	40	New York	-0.43
41	Vermont	-0.67	41	Ohio	-0.60
42	Alabama	-0.68	42	North Carolina	-0.69
43	Georgia	-0.75	43	Connecticut	-0.71
44	Nebraska	-0.90	44	Missouri	-0.74
45	Illinois	-0.91	45	Colorado	-0.94
46	Ohio	-0.93	46	Illinois	-1.07
47	Kansas	-1.15	47	Oklahoma	-1.09
48	Connecticut	-1.31	48	Kansas	-1.13
49	Massachusetts	-1.56	49	Michigan	-1.43
50	Oklahoma	-1.62	50	Massachusetts	-1.69

Attachment 1: Continued

*2004 Rank*	*State*	*% Growth*	*2005 Rank*	*State*	*% Growth*
1	Nevada	6.59	1	Nevada	5.75
2	Arizona	4.84	2	Arizona	5.25
3	Florida	4.54	3	Idaho	4.44
4	Idaho	3.59	4	Wyoming	4.38
5	Utah	3.48	5	Utah	4.37
6	Hawaii	3.42	6	Florida	3.62
7	Montana	3.12	7	Texas	3.19
8	Oregon	3.07	8	Washington	3.14
9	Virginia	2.90	9	Oklahoma	3.07
10	Washington	2.41	10	Oregon	3.06
11	North Carolina	2.30	11	Hawaii	2.87
12	New Mexico	2.29	12	Georgia	2.78
13	Oklahoma	2.26	13	Alabama	2.46
14	South Carolina	2.23	14	Montana	2.45
15	Alabama	2.20	15	New Mexico	2.39
16	Alaska	2.19	16	Colorado	2.34
17	Wyoming	2.18	17	California	2.25
18	Colorado	2.16	18	South Dakota	2.13
19	Texas	2.03	19	North Dakota	2.02
20	Tennessee	1.99	20	Delaware	1.95
21	Georgia	1.98	21	North Carolina	1.94
22	North Dakota	1.97	22	Arkansas	1.86
23	Delaware	1.86	23	Virginia	1.82
24	Kansas	1.71	24	Minnesota	1.74
25	California	1.70	25	New Hampshire	1.55
26	Minnesota	1.67	26	Missouri	1.52
27	Maryland	1.62	27	West Virginia	1.50
28	South Dakota	1.61	28	Iowa	1.48
29	Wisconsin	1.48	29	South Carolina	1.46
30	Iowa	1.47	30	Maryland	1.42
31	New Hampshire	1.38	31	Nebraska	1.32
32	West Virginia	1.37	32	Wisconsin	1.23
33	Arkansas	1.33	33	Kentucky	1.22
34	Missouri	1.24	34	Tennessee	1.16
35	Indiana	1.20	35	Alaska	1.14
36	Nebraska	1.11	36	Vermont	1.02
37	New York	1.05	37	Indiana	0.89
38	Kentucky	1.03	38	New York	0.78
39	Pennsylvania	1.03	39	Pennsylvania	0.76
40	Connecticut	0.93	40	Illinois	0.74
41	New Jersey	0.89	41	Massachusetts	0.73
42	Mississippi	0.88	42	New Jersey	0.68
43	Illinois	0.83	43	Connecticut	0.65
44	Louisiana	0.73	44	Kansas	0.45
45	Vermont	0.73	45	Ohio	0.29
46	Massachusetts	0.67	46	Rhode Island	0.25
47	Rhode Island	0.64	47	Maine	0.13
48	Ohio	0.52	48	Mississippi	-0.13
49	Maine	0.34	49	Michigan	-0.64
50	Michigan	-0.07	50	Louisiana	-6.26

Attachment 1: Continued

*2006 Rank*	*State*	*% Growth*	*2007 Rank*	*State*	*% Growth*
1	Wyoming	5.35	1	Wyoming	3.07
2	Utah	4.99	2	Utah	2.88
3	Louisiana	4.78	3	Texas	2.50
4	North Carolina	3.95	4	Louisiana	2.50
5	Idaho	3.65	5	Washington	2.36
6	Arizona	3.65	6	Colorado	2.05
7	Texas	3.31	7	Nebraska	1.91
8	South Carolina	3.09	8	North Carolina	1.91
9	Montana	2.90	9	Montana	1.73
10	Nevada	2.70	10	Idaho	1.64
11	New Mexico	2.45	11	New Hampshire	1.57
12	Washington	2.41	12	Oklahoma	1.52
13	Oregon	2.36	13	South Dakota	1.52
14	North Dakota	2.33	14	Alabama	1.46
15	Hawaii	2.17	15	Kansas	1.25
16	Colorado	2.17	16	South Carolina	1.23
17	South Dakota	2.13	17	New York	1.19
18	Mississippi	2.07	18	Oregon	1.17
19	Kansas	2.05	19	North Dakota	1.15
20	Georgia	1.92	20	Kentucky	1.02
21	Oklahoma	1.89	21	Connecticut	0.95
22	Florida	1.73	22	Maryland	0.95
23	Alaska	1.61	23	Georgia	0.89
24	Kentucky	1.55	24	New Mexico	0.88
25	Iowa	1.53	25	Virginia	0.81
26	Nebraska	1.47	26	Massachusetts	0.79
27	Connecticut	1.40	27	Hawaii	0.61
28	Missouri	1.40	28	Tennessee	0.61
29	Virginia	1.35	29	Illinois	0.55
30	New York	1.28	30	Iowa	0.55
31	Massachusetts	1.19	31	Minnesota	0.50
32	California	1.11	32	Maine	0.47
33	Maryland	1.11	33	Delaware	0.46
34	Illinois	1.10	34	Pennsylvania	0.44
35	Tennessee	1.09	35	Arkansas	0.42
36	Pennsylvania	1.09	36	Missouri	0.41
37	Rhode Island	1.08	37	Indiana	0.40
38	Alabama	1.08	38	Alaska	0.35
39	Arkansas	1.04	39	Mississippi	0.29
40	West Virginia	1.02	40	California	0.27
41	New Jersey	0.74	41	Wisconsin	0.26
42	New Hampshire	0.66	42	Nevada	0.25
43	Delaware	0.62	43	New Jersey	0.12
44	Maine	0.60	44	Vermont	0.10
45	Wisconsin	0.59	45	Arizona	-0.05
46	Indiana	0.58	46	Ohio	-0.10
47	Minnesota	0.47	47	West Virginia	-0.12
48	Vermont	0.36	48	Florida	0.27
49	Ohio	-0.18	49	Rhode Island	-1.05
50	Michigan	-1.82	50	Michigan	-1.57

Attachment 1: Continued

Rank with Partial 2008 Data*	*State*	% Growth*
1	Texas	1.38
2	South Dakota	0.90
3	New Mexico	0.69
4	Wyoming	0.65
5	West Virginia	0.62
6	Colorado	0.62
7	Louisiana	0.49
8	Maryland	0.44
9	Montana	0.40
10	Kansas	0.36
11	New Hampshire	0.35
12	Virginia	0.33
13	Kentucky	0.30
14	Nebraska	0.27
15	Alaska	0.25
16	Massachusetts	0.11
17	Wisconsin	0.06
18	Connecticut	0.05
19	Delaware	0.00
20	Iowa	-0.01
21	Alabama	-0.01
22	Oklahoma	-0.04
23	Arkansas	-0.09
24	Washington	-0.10
25	New Jersey	-0.14
26	Pennsylvania	-0.14
27	North Dakota	-0.14
28	New York	-0.16
29	California	-0.16
30	Vermont	-0.19
31	Idaho	-0.26
32	Tennessee	-0.34
33	Maine	-0.36
34	North Carolina	-0.36
35	South Carolina	-0.37
36	Mississippi	-0.39
37	Ohio	-0.44
38	Minnesota	-0.48
39	Michigan	-0.48
40	Illinois	-0.49
41	Utah	-0.53
42	Oregon	-0.60
43	Missouri	-0.68
44	Indiana	-0.83
45	Hawaii	-0.91
46	Nevada	-0.96
47	Georgia	-1.14
48	Florida	-1.54
49	Arizona	-1.58
50	Rhode Island	-1.72

*This is calculated from January to July. July's figures are preliminary releases from the federal BLS.

JM:dw