Angelou Economics - News [Reports: The Cluster Effect of the 90s Boom]

The Cluster Effect of the 90s Boom
From 1994 to 2000,

Software & IT Services was the fastest growing cluster of the 1990’s, averaging 13 percent job growth during the boom years of 1994 to 2000.
Of the clusters that are trade-oriented (those selling most of their goods or services to customers from outside the region), the top 5 fastest-growing were Software & IT, Tourism, Semiconductor Manufacturing, Telecommunications, and Agriculture.
Each of the top 5 fastest-growing metropolitan regions of the 90’s had at least one of these top 5 trade-oriented clusters.
Metropolitan regions without a top 5 trading cluster but still enjoying strong growth in the 90’s had well-developed supporting clusters such as Telecommunications Services, Logistics, and Transportation.

Fastest Growing U.S. Clusters, 1994 - 2000

	Average Annual Growth
*Trade-oriented*
Software and IT Services	12.0%
Tourism	3.5%
Semiconductors	3.3%
Telecommunications Services	3.3%
Agriculture	3.1%
*Locally-serving*
Business & Professional Services	5.6%
Housing & Construction	5.3%
Transportation Services	4.6%
Logistics & Distribution	4.0%
Higher Education & Research	2.8%
*Shrinking Clusters*
Apparel & Textiles	-4.3%
Aerospace & Defense	-3.9%
Utilities	-1.5%

Fastest Growing U.S. Regions, 1994 - 2000

	Average Annual Growth	Top "Trading" Clusters
Las Vegas, NV	7.6%	Tourism
Phoenix, AZ	5.8%	Semiconductors
Austin, TX	5.4%	Semiconductors, Software
Orlando, FL	4.7%	Tourism
Atlanta, GA	4.4%	Telecommunications
Dallas, TX	4.4%	Telecom, Software, Semiconductors
Tampa, FL	4.2%	Biotechnology
Raleigh-Durham, NC	4.2%	Computer Electronics, Biotech
Salt Lake City, UT	4.1%	Biotechnology, Electronics
Colorado Springs, CO	4.1%	Computer Electronics, Software

Source: AngelouEconomics, November 2001

Note: For Metro Areas with 250,000 or more workers. The Tourism cluster includes Hotels & Entertainment. All growth rates are calculated based on employment.