The Chicago region has experienced a steep decline in private research and development spending over the last decade, according to a report released Tuesday by the Chicago Metropolitan Agency for Planning.
In reducing R&D spending and jobs from firms that focus on innovation, the region has lost ground to San Diego, Boston, Silicon Valley and San Francisco, making it harder to compete globally, according to the report. In total, the region lost a third of its manufacturing jobs in the decade ending in 2011.
To reverse the trend, the report calls for an increase in early-stage financing opportunities for manufacturers, more R&D support for smaller firms and for the region to reorient economic development strategies and focus them on manufacturing.
“By helping to secure more financing for innovative manufacturing startups, the region can ensure that novel ideas are transferred into production more frequently,” the report states.
At 375,000 jobs, the region is home to the second largest manufacturing cluster in the nation. When adding jobs in support and customer industries, the total rises to 580,000. Chicago stands out because of its broad manufacturing core.
Chosen excerpts by Job Market Monitor
via Steep decline in R&D spending costs area jobs, planning group says – chicagotribune.com.
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