U.S. Startups Steady — Florida Surges 30%
Using data from Indeed.com the intensity of startup jobs shows a 20% growth over the last 12 months. U.S. total jobs advertised fell from 3.3 million to 3.2 million while at the same time startup jobs also fell from 55,000 to 53,000 creating a job intensity of 1.6% typical of the whole year. During the same time-frame, Florida likewise saw total jobs advertised decline from 205,000 to 169,000 as startup jobs surged from 1,558 to 1,647 resulting in an increased job intensity of 1%. Northwest Florida also saw gains but in a more erratic way (Chart 1) as total jobs advertised fell from 19,000 to 15,000 while startup jobs held steady at 170 for a job intensity increase to 1.1%.
Based on a paper by Michael Mandel of the Progressive Policy Institute (See Innovation Index Page), it is possible to estimate the local startup ecosystem and the demand for jobs in target industries. In this index, the United States as a whole is the baseline of one. The relative startup friendliness is compared to the United States. This index (Chart 2) is a real-time proxy index — not an index constructed up to a year in arears after all data is in.
By this measure, Florida as a whole ranks well below the United States benchmark of 1.00 with a 0.50 index value while Northwest Florida has fallen to an index value of 0.60. In the last quarter NW Florida slid from a 0.79 mark to a 0.6 index (Chart 2).
Chart 2 Innovation Index
As a result, Florida as a whole shows a quarter to quarter index increase of 18% while NW Florida experienced a 5% decline in its index in the same period. In Florida, only Miami-Dade and Tampa have indices well above the panhandle. NW Florida’s nearest big city, Atlanta, surpasses the U.S. benchmark by 13% topping NW Florida’s index by 90%. NW Florida’s entrepreneur ecosystem weakened slightly in the last quarter.