Study: Florida economic productivity tops nation

by | Jul 28, 2023



  • Florida emerges as the national leader in total productivity amid a 75-year low in overall U.S. productivity.
  • Massachusetts takes the innovation crown with a perfect score but lags behind in employment rates and business applications.
  • Alaska ranks as the least productive state; while Tennessee and Delaware also show high productivity performance.

Amid a 75 year low in overall U.S. productivity, Florida has emerged as the national leader in total productivity, according to a study based on data from the U.S. Bureau of Labor Statistics, GDP growth, employment rates, business applications, and innovation metrics.

The study, conducted by Hello Ivy, a leading project management company, found Florida to be the top-performing state. Despite the general downward trend across the country, Florida posted a remarkable uptick in GDP growth and a surge in business applications.

Though the Sunshine State scored a modest five out of 12 in innovation, it boasted an overall productivity score of 48, topping the list of all U.S. states. While productivity nationwide has suffered due to the impact of COVID and the ongoing cost of living crisis, Florida’s economic landscape appears to be thriving.

Other high-performing states include Tennessee, ranked second in the study for productivity, and Delaware, taking the third spot. Both states exhibited high levels of new business applications and GDP growth, with Delaware outscoring both Florida and Tennessee in innovation metrics.

Despite Florida’s top placement in productivity, the innovation crown went to Massachusetts, scoring a perfect 12 out of 12. However, this innovation did not translate into overall productivity due to lower scores in employment rates and business applications.

In contrast to the top performers, Alaska emerged as the least productive state, with low levels of business applications and GDP growth. Additionally, Nebraska and New Hampshire reported low employment rates, significantly impacting their overall productivity scores.

The research suggests that while average U.S. productivity is declining, the most underperforming states heavily influence this overall picture. States that scored poorly in innovation, such as Nebraska, South Dakota, and Louisiana, also saw significant drops in productivity scores.

Despite discouraging headlines about the national decline in productivity, the study also reveals a more nuanced picture, with some states outperforming expectations. Here’s the top ten U.S. states:

Rank State GDP growth (2022)

Score (out of 15)

U.S Bureau of Labor Statistics productivity by state breakdown (2022)

Score (out of 25)

Employment rates

Score (out of 10)

Business applications

Score (out of 18)

Innovation metrics

Score (out of 12)

Hello Ivy final score

(out of 70)

1 Florida 14 18 4 11 5 48
2 Tennessee 14 17 5 11 3 47.6
3 Delaware 10 13 7 16 7 47.4
4 Connecticut 10 20 6 8 6 45.2
5 Georgia 11 15 5 12 5 44
= Illinois 10 17 7 9 5 44
= North Carolina 12 14 5 12 5 44
= Idaho 14 25 4 0 5 44
6 Kentucky 9 19 6 9 3 43.6
7 Texas 12 12 7 11 6 43.2
8 Pennsylvania 10 18 7 7 5 43
9 South Carolina 10 12 5 15 4 42.8
= Colorado 12 18 4 7 9 42.8
10 Indiana 9 16 5 11 7 42.4

Here’s a link to the complete study: https://www.helloivy.co/blog/which-us-state-has-the-best-productivity-levels

 

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