The New Economy might not be so new anymore. But when it comes to developing future high-tech growth, measurable factors can determine how well-equipped each state is to capitalize economically on its internal resources, according to a report.
The New Economy Index study, by the Milken Institute, a think tank in Santa Monica, Calif., ranked the 50 states based on 12 factors, including research and development, number of patents issued, educational level of the population, and amounts of money attracted by initial public offerings. Scores were based on a scale of zero to 100.
The top-ranked state: Massachusetts, which scored especially well on education and venture-capital investment. The second-place finisher, California, scored well for having a good export market and a high number of attractive IPOs.
The report, posted at www.milkeninstitute.org, indicates that the key to New Economy success is the ability to bring research, knowledge, innovation, and capital together to produce new products and services.
Top- and bottom-five states and their scores:
1. Massachusetts (92.3) 46. Kentucky (24.8)
2. California (85.5) 47. Mississippi (23.5)
3. Connecticut (83.7) 48. South Dakota (19.5)
4. Colorado (82.7) 49. West Virginia (16.3)
5. Washington (79.0) 50. Arkansas (10.0)
(c) Copyright 2000. The Christian Science Publishing Society