The Missouri Economic Research and Information Center on Feb. 6 released a study highlighting the state’s economic diversity, using the most recent statistics available.
The Missouri Economic Research and Information Center on Feb. 6 released a study highlighting the state’s economic diversity, using the most recent statistics available. It showed that In 2015, Missouri ranked seventh nationally for having one of top most diverse economies.
A diversified economy is one that can better manage the ups and downs of the business cycle in contrast to an economy that is made up of only a few industries. A more balanced economy can absorb the economic shock in the event of some underperforming industries.
The state’s top five industries for 2015, not including government, were manufacturing (13.2 percent of total GDP), real estate (11.6 percent), health care (8.4 percent), finance and insurance (7.8 percent), and wholesale trade (6.7 percent).
A half dozen industries experienced dramatic change, between 2014 and 2015, in share of GDP as well as value. Professional, scientific, and technical services increased their GDP share from 5.9 percent to 6.4 percent, which translates to a near 15 percent increase in value; the value of the real estate industry increased 14 percent, retail trade 10 percent, and manufacturing 8 percent. For more information on some of Missouri’s booming industries, see ded.mo.gov.