Examining Differences between Metropolitan Manufacturing-Dependent Counties and Metropolitan Service-Dependent Counties across the Midwest

Abstract

Manufacturing outperforms any other sector in the United States and accounts for more than two thirds of company-performed domestic research as well as development spending. Without the manufacturing sector, the U.S. economy would lose innovation ability and living standards would grow more slowly.  The objectives of this study are to examine the characteristics of metropolitan manufacturing-dependent counties across the Midwest and determine any significant differences between metropolitan manufacturing-dependent and metropolitan service-dependent counties.  Data was collected from a wide variety of sources, such as government agencies, and placed within three categories (education, economic, and labor) for Illinois, Indiana, Michigan, Ohio, and Wisconsin.  Means were then calculated for each variable, followed by standard deviations.  T-tests were completed for each variable to determine any differences in the calculated means between metropolitan manufacturing-dependent and metropolitan service-dependent counties.  The t-tests showed no significant difference, so a linear regression test was run.  Two variables, percentage of persons 25 years and older with a Bachelor’s degree or higher and manufacturing type, had a p-value less than 0.15.  Three variables, poverty rate (2013), people unemployed, and job growth (2006-2011), had a p-value less than 0.20. Each p-value showed there was a relationship between those specific variables and the economic type of that county.