Massachusetts tops list of states for innovation
The Ewing Marion Kauffman Foundation along with the Information Technology and Innovation Foundation released its annual rankings of states best equipped to compete in an innovation-based world economy.
The 2010 State New Economy Index ranked Massachusetts, Washington and Maryland at the top the list, respectively, but Massachusetts was the overwhelming winner with a score of 92.6, compared to second place-finisher Washington's 77.5. The Bay State is home to many noted biotech, software and hardware companies; this, as well as its esteemed educational and research institutions like Harvard and MIT, contributed to the rankings.
"In this century, the global economy has shifted," said Robert Litan, vice president of research and policy at the Kauffman Foundation. "A mix of highly productive and innovative New Economy firms is necessary for an economy to prosper."
Litan added that the U.S. is beginning to fall behind in global innovation and entrepreneurship, suggesting this to be a key contributor to the continuing economic recession. According to the Kauffman Foundation's vice president, states must focus on "providing the entrepreneurial resources and access that are critical to boosting competitiveness within the global marketplace."
According to a September report from the Small Business Administration, the U.S. has fallen to third in the world for entrepreneurial activity, behind Denmark and Canada, respectively. To combat the country's declining reputation as a powerhouse of entrepreneurship and tech innovation, many businesses are adopting comprehensive intellectual property strategies to protect and document their innovation.