Advanced industries in US – 12.3 million workers, 9 percent of total U.S. employment

Advanced industries represent a sizable economic anchor for the U.S. economy and have led the post-recession employment recovery

Modest in size, the sector packs a massive economic punch: As an employer and source of economic activity the advanced industry sector plays a major role in the U.S. economy. as of 2013, the nation’s 50 advanced industries (see nearby box for selection criteria) employed 12.3 million U.S. workers. That amounts to about 9 percent of total U.S. employment. And yet, even with this modest employment base, U.S. advanced industries produce $2.7 trillion in value added annually—17 percent of all U.S. gross domestic product (GdP). That is more than any other sector, including healthcare, finance, or real estate.

At the same time, the sector employs 80 percent of the nation’s engineers; performs 90 percent of private-sector R&D; generates approximately 85 percent of all U.S. patents; and accounts for 60 percent of U.S. exports. Advanced industries also support unusually extensive supply chains and other forms of ancillary economic activity. On a per worker basis, advanced industries purchase $236,000 in goods and services from other businesses annually, compared with $67,000 in purchasing by other industries. this spending sustains and creates more jobs. In fact, 2.2 jobs are created domestically for every new advanced industry job—0.8 locally and 1.4 outside of the region. this means that in addition to the 12.3 million workers employed by advanced industries, another 14.3 million U.S. workers owe their jobs to economic activity supported by advanced industries. directly and indirectly, then, the sector supports almost 39 million jobs—nearly one-fourth of all U.S. employment

Chosen excerpts by Job Market Monitor. Read the whole story at  America’s Advanced Industries: What They Are, Where They Are, and Why They Matter | Brookings Institution.