Analysis: CT Ranked in Top 12 States for Technology & Science

Massachusetts ranks No. 1 in the 2020 Milken Institute State Technology and Science Index, a biennial assessment that uses 105 metrics to determine each state’s science and technology capabilities relative to opportunities for job growth and wealth creation.

Connecticut is among nine states earning a place in the second tier, at number 12 overall.  Connecticut ranked number 13 in the 2018 analysis. The 2020 edition groups states into five tiers, with Colorado, California, Maryland, Washington, and Utah rounding out the first tier, respectively. 

The 62-page analysis includes five sub-indexes:  Research & Development, Risk Capital & Entrepreneurial Infrastructure, Technology & Science Workforce, Technology Concentration & Dynamism, and Human Capital Investment.

Connecticut’s highest ranking was at No. 6 on the sub-index of human capital investment.  The report explained that the state’s position was “mainly due to the quality of its educational system. Connecticut scored highly for the percentage of adults with a bachelor’s degree or higher (No. 4), rate of adults with a master’s degree (No. 3), and for doctoral engineers and scientists. It also had the No. 2 average ACT scores of any state. Although funding for higher education has fallen somewhat, the state still ranks highly in terms of per-student support. Higher education enrollment rates as a share of the young adult population have been rising, and graduation rates from four-year colleges are also higher than the nation’s average.”  The state ranked 7th in the category in 2018.

“The pandemic has demonstrated both the strengths and fragility of the jobs and economies of American states,” said Kevin Klowden, report author and Executive Director of the Milken Institute Center for Regional Economics and the California Center. “The states positioned to grow in the post-COVID reality are those that have strong STEM workforces, that maintain and support universities that produce graduates to fill the jobs of the future, and that have the entrepreneurial environment to create those jobs.”

Connecticut ranked eighth nationally in Research & Development, and at number 15 in Risk Capital & Entrepreneurial Infrastructure.  The state also ranked number 21 in Technology & Science Workforce, number 20 in Technology Concentration & Dynamism.

The report points out that “a critical component of economic recovery at the state level will be ensuring the presence of a robust, technologically skilled workforce. For state leaders, the challenge lies not only in directing investments toward higher education and employer engagement but also in enhancing access to these opportunities for vulnerable populations and under-served communities.”

In calculating the overall index, the Milken Institute evaluated 105 metrics including government research and development funding, entrepreneurial activity such as patents and venture capital investment, and the proportion of each state’s workforce in high-tech industries. These metrics were spread across five sub-indexes that were then averaged into an overall ranking of the 50 states; to limit volatility, the metrics use a three-year rolling average.

The report also points out that “A state’s knowledge economy is tied not only to its educational systems—primary and secondary schools, colleges, and universities—but also to private-sector activity. Important activities range from designing and marketing new ideas, products, and processes to providing venture capital and seed funding for the growth of new firms.”

The Milken Institute is a nonprofit, nonpartisan think tank. They “catalyze practical, scalable solutions to global challenges by connecting human, financial, and educational resources to those who need them.” The Milken Institute Center for Regional Economics produces research, programs, and events designed to inform and activate innovative economic and policy solutions to drive job creation and industry expansion. The State Technology & Science Index was published in October 2020.