So just how influential is domestic manufacturing to the US economy? We came across some facts and statistics that we found very interesting and wanted to share:
- In 2012, manufacturers contributed $1.87 trillion to the economy, up from $1.73 trillion in 2011.
- For every $1.00 spent in manufacturing, another $1.48 is added to the economy, the highest multiplier effect of any economic sector.
- In just 5 states, manufacturing adds over half a trillion dollars to the economy
- Manufacturing supports an estimated 17.2 million jobs in the United States
- Manufacturers are responsible for almost 2/3 of all private sector research and development
- Each manufacturing job creates at least 2.91 more jobs in other sectors
- Over 70% of Americans view manufacturing as the most important industry for a strong economy and national defense
- 77% of Americans fear the loss of domestic manufacturing jobs to other nations
- 83% of manufacturers say the lack of skilled workers hurts their business
- By 2030, 77% of skilled baby boomers will have left the workforce
As you can see, the manufacturing industry has a major connection with fueling the economy. Manufacturing is the backbone to the economy. It is one of the major ways to keep money circulating through the economy and sustains job security and growth.
What are your thoughts on manufacturing and the US economy?
Manufacturing Institute. www.themanufacturinginstitute.org (2013).