1. The State of Manufacturing Illinois, Indiana, Michigan, Minnesota, Ohio, and Wisconsin Presented by: Dr. Michael Carrol Professor of Economics and Director of the Center for Regional Development April 2015

2. Manufacturing Location Quotient: IL, IN, MI, MN, OH, WN 2013

3. Percent Employment Change: IL, IN, MI, MN, OH, WN 2000-2013 StatePercent Change 2000-2013 Minnesota-22.5% Wisconsin-23.3% Indiana-25.9% Illinois-33.4% Ohio-35.3% Michigan-38.0% Source: Bureau of Labor Statistics

4. Employment Changes: IL, IN, MI, MN, OH, WN 2000-2013 SectorEmployment 2000Employment 2013 Employment Change Percent Growth 2000- 2013 Education and Health Services4,526,0425,432,730906,68820 Natural Resources and Mining143,508163,49919,99113.9 Leisure and Hospitality2,163,7782,347,831184,0538.5 Professional and Business Services2,957,4453,150,003192,5586.5 Public Administration1,047,7871,026,707-21,080-2 Other Services770,685733,749-36,936-4.8 Financial Activities1,355,7181,271,868-83,850-6.2 Trade, Transportation, and Utilities5,124,8434,609,551-515,292-10.1 Information540,924404,871-136,053-25.2 Construction1,132,530843,247-289,283-25.5 Manufacturing4,443,7193,052,067-1,390,000-31.3 Total24,210,00023,040,000-1,170,000

5. Shift Share Analysis: IL, IN, MI, MN, OH, WN 2000-2013 Sector National Growth Component Percent National Growth Component Jobs Industrial Mix Component Percent Industrial Mix Component Jobs Competitive Share Component Percent Competitive Share Component Jobs Information3.1%16,657-27.4%-148111-0.9%-4,599 Natural Resources and Mining3.1%4,41915.4%22,149-4.6%-6,577 Manufacturing3.1%136,835-33.7%-1.50E+06-0.7%-29,059 Other Services3.1%23,732-3.4%-26,199-4.5%-34,469 Public Administration3.1%32,2640.8%8,586-5.9%-61,930 Financial Activities3.1%41,747-2.6%-34,681-6.7%-90,916 Professional and Business Services3.1%91,0687.8%230,910-4.4%-129421 Construction3.1%34,874-15.5%-175983-13.1%-148174 Leisure and Hospitality3.1%66,62917.9%386,627-12.4%-269203 Education and Health Services3.1%139,37024.3%1101069-7.4%-333751 Trade, Transportation, and Utilities3.1%157,809-4.8%-244402-8.4%-428699 Total745,404-379,463-1,536,798

6. Conclusion Illinois, Indiana, Michigan, Minnesota, Ohio, and Wisconsin must change their strategies. Reduce dependence on manufacturing. Increase investment in industries showing positive growth.

7. Questions? Comments? Thank you for your attention

8. Bibliography All tables originate from the Bureau of Labor Statistics

9. Employment Changes: Illinois, 2000- 2013 SectorEmployment 2000Employment 2013Employment Change Percent Growth 2000- 2013 Education and Health Services1,065,5951,293,191227,59621.4% Leisure and Hospitality514,333576,82162,48812.1% Professional and Business Services837,437892,03554,5986.5% Natural Resources and Mining25,57226,7421,1704.6% Other Services198,941198,395-546-0.3% Trade, Transportation, and Utilities1,292,7661,194,470-98,296-7.6% Financial Activities398,681355,934-42,747-10.7% Public Administration294,756259,979-34,777-11.8% Construction270,973192,679-78,294-28.9% Information160,699109,523-51,176-31.8% Manufacturing872,439581,106-291,333-33.4% Total5,932,1925,680,875-251,317

10. Shift Share Analysis: Illinois, 2000-2013 Sector National Growth Component Percent National Growth Component Jobs Industrial Mix Component Percent Industrial Mix Component Jobs Competitive Share Component Percent Competitive Share Component Jobs Other Services3.1%6,126-3.4%-6,7630%91 Natural Resources and Mining3.1%78715.4%3,947-13.9%-3,564 Information3.1%4,948-27.4%-44,001-7.5%-12,123 Manufacturing3.1%26,865-33.7%-294384-2.7%-23,814 Professional and Business Services3.1%25,7877.8%65,385-4.4%-36,574 Construction3.1%8,344-15.5%-42,106-16.4%-44,532 Financial Activities3.1%12,277-2.6%-10,199-11.2%-44,825 Leisure and Hospitality3.1%15,83817.9%91,902-8.8%-45,252 Public Administration3.1%9,0760.8%2,415-15.7%-46,269 Education and Health Services3.1%32,81324.3%259,232-6%-64,448 Trade, Transportation, and Utilities3.1%39,808-4.8%-61,652-5.9%-76,452 Total182,669-36,224-397,762

11. Employment Changes: Indiana, 2000- 2013 SectorEmployment 2000Employment 2013 Employment Change 2000-2013 Percent Growth 2000- 2013 Education and Health Services527,855653,124125,26923.7% Professional and Business Services260,047308,98748,94018.8% Natural Resources and Mining18,30020,9822,68214.7% Leisure and Hospitality268,123293,19925,0769.4% Public Administration129,547126,064-3,483-2.7% Other Services86,23382,792-3,441-4% Trade, Transportation, and Utilities631,121580,287-50,834-8.1% Financial Activities144,007126,215-17,792-12.4% Construction149,898123,215-26,683-17.%8 Information52,32042,140-10,180-19.5% Manufacturing663,983491,696-172,287-25.9% Total2,931,4342,848,701-82,733

12. Shift Share Analysis: Indiana, 2000-2013 Sector National Growth Component Percent National Growth Component Jobs Industrial Mix Component Percent Industrial Mix Component Jobs Competitive Share Component Percent Competitive Share Component Jobs Manufacturing3.1%20,446-33.7%-2240454.7%31,312 Professional and Business Services3.1%8,0087.8%20,3047.9%20,629 Information3.1%1,611-27.4%-14,3264.8%2,535 Natural Resources and Mining3.1%56415.4%2,824-3.9%-706 Other Services3.1%2,655-3.4%-2,931-3.7%-3,165 Construction3.1%4,616-15.5%-23,293-5.3%-8,006 Public Administration3.1%3,9890.8%1,062-6.6%-8,534 Financial Activities3.1%4,434-2.6%-3,684-12.9%-18,543 Education and Health Services3.1%16,25424.3%128,413-3.7%-19,399 Leisure and Hospitality3.1%8,25617.9%47,909-11.6%-31,089 Trade, Transportation, and Utilities3.1%19,434-4.8%-30,098-6.4%-40,170 Total90,267-97,865-75,136

13. Employment Changes: Michigan, 2000- 2013 SectorEmployment 2000Employment 2013 Employment Change 2000-2013 Percent Growth 2000-2013 Natural Resources and Mining30,76834,5163,74812.2% Education and Health Services859,844952,27492,43010.7% Public Administration153,106169,20116,09510.5% Leisure and Hospitality402,590411,3508,7602.2% Professional and Business Services635,751604,229-31,522-5% Other Services136,952130,055-6,897-5% Financial Activities204,605189,348-15,257-7.5% Trade, Transportation, and Utilities905,591764,673-140918-15.6% Information79,45459,538-19,916-25.1% Construction208,226137,370-70,856-34% Manufacturing894,082554,327-339,755-38% Total4,510,9694,006,881-504,088

14. Shift Share Analysis: Michigan, 2000- 2013 Sector National Growth Component Percent National Growth Component Jobs Industrial Mix Component Percent Industrial Mix Component Jobs Competitive Share Component Percent Competitive Share Component Jobs Public Administration3.1%4,7150.8%1,2556.6%10,126 Information3.1%2,447-27.4%-21,755-0.8%-607 Natural Resources and Mining3.1%94715.4%4,749-6.3%-1,948 Other Services3.1%4,217-3.4%-4,656-4.7%-6,459 Financial Activities3.1%6,300-2.6%-5,234-8.0%-16,323 Construction3.1%6,412-15.5%-32,356-21.6%-44,912 Manufacturing3.1%27,531-33.7%-301,687-7.3%-65,599 Leisure and Hospitality3.1%12,39717.9%71,935-18.8%-75,572 Professional and Business Services3.1%19,5777.8%49,638-15.8%-100,737 Trade, Transportation, and Utilities3.1%27,886-4.8%-43,187-13.9%-125,616 Education and Health Services3.1%26,47724.3%209,178-16.7%-143,225 Total138,906-72,120-570,872

15. Employment Changes: Minnesota, 2000- 2013 SectorEmployment 2000Employment 2013 Employment Change 2000-2013 Percent Growth 2000- 2013 Education and Health Services503,087665,496162,40932.3% Natural Resources and Mining22,19026,8394,64921.0% Public Administration110,263123,83113,56812.3% Leisure and Hospitality238,029265,72227,69311.6% Financial Activities163,783179,27615,4939.5% Professional and Business Services321,594348,19026,5968.3% Other Services87,65385,257-2,396-2.7% Trade, Transportation, and Utilities559,329525,026-34,303-6.1% Construction122,388104,054-18,334-15.0% Information72,95256,859-16,093-22.1% Manufacturing396,218307,162-89,056-22.5% Total2,597,4862,687,71290,226

16. Shift Share Analysis: Minnesota, 2000- 2013 Sector National Growth Component Percent National Growth Component Jobs Industrial Mix Component Percent Industrial Mix Component Jobs Competitive Share Component Percent Competitive Share Component Jobs Manufacturing3.1%12,201-33.7%-133,6948.2%32,438 Education and Health Services3.1%15,49224.3%122,3884.9%24,529 Financial Activities3.1%5,043-2.6%-4,1908.9%14,639 Public Administration3.1%3,3950.8%9048.4%9,269 Information3.1%2,246-27.4%-19,9752.2%1,636 Natural Resources and Mining3.1%68315.4%3,4252.4%541 Other Services3.1%2,699-3.4%-2,980-2.4%-2,115 Construction3.1%3,769-15.5%-19,018-2.5%-3,085 Professional and Business Services3.1%9,9037.8%25,109-2.6%-8,416 Leisure and Hospitality3.1%7,33017.9%42,531-9.3%-22,168 Trade, Transportation, and Utilities3.1%17,223-4.8%-26,674-4.4%-24,852 Total79,984-12,17422,416

17. Employment Changes: Ohio, 2000-2013 SectorEmployment 2000Employment 2013 Employment Change 2000-2013 Percent Growth 2000-2013 Education and Health Services1,068,4191,260,220191,80118% Leisure and Hospitality495,513530,10334,5907% Professional and Business Services655,929697,43241,5036.3% Natural Resources and Mining27,59326,727-866-3.1% Public Administration223,027210,447-12,580-5.6% Financial Activities298,006271,940-26,066-8.7% Trade, Transportation, and Utilities1,165,8611,016,292-149,569-12.8% Other Services179,136151,821-27,315-15.2% Construction254,388185,762-68,626-27% Information120,64587,802-32,843-27.2% Manufacturing1,023,458662,377-361,081-35.3% Total5,511,9755,100,923-411,052

18. Shift Share Analysis: Ohio, 2000-2013 Sector National Growth Component Percent National Growth Component Jobs Industrial Mix Component Percent Industrial Mix Component Jobs Competitive Share Component Percent Competitive Share Component Jobs Information3.13,715-27.4-33,034-2.9-3,524 Natural Resources and Mining3.185015.44,259-21.7-5,974 Public Administration3.16,8680.81,828-9.5-21,275 Other Services3.15,516-3.4-6,090-14.9-26,742 Financial Activities3.19,176-2.6-7,623-9.3-27,619 Professional and Business Services3.120,1987.851,213-4.6-29,908 Construction3.17,833-15.5-39,529-14.5-36,930 Manufacturing3.131,515-33.7-345,342-4.6-47,254 Leisure and Hospitality3.115,25817.988,539-14-69,207 Education and Health Services3.132,90024.3259,919-9.5-101,017 Trade, Transportation, and Utilities3.135,900-4.8-55,600-11.1-129,870 Total169,729-81,460-499,320

19. Employment Changes: Wisconsin, 2000- 2013 SectorEmployment 2000Employment 2013Employment Change Percent Growth 2000- 2013 Natural Resources and Mining19,08527,6938,60845.1% Education and Health Services501,242608,425107,18321.4% Professional and Business Services246,687299,13052,44321.3% Leisure and Hospitality245,190270,63625,44610.4% Other Services81,77085,4293,6594.5% Financial Activities146,636149,1552,5191.7% Public Administration137,088137,185970.1% Trade, Transportation, and Utilities570,175528,803-41,372-7.3% Information54,85449,009-5,845-10.7% Construction126,657100,167-26,490-20.9% Manufacturing593,539455,399-138,140-23.3% Total2,722,9232,711,031-11,892

20. Shift Share Analysis: Wisconsin, 2000- 2013 Sector National Growth Component Percent National Growth Component Jobs Industrial Mix Component Percent Industrial Mix Component Jobs Competitive Share Component Percent Competitive Share Component Jobs Manufacturing3.1%18,277-33.7%-200,2767.4%43,859 Professional and Business Services3.1%7,5967.8%19,26110.4%25,586 Information3.1%1,689-27.4%-15,02013.6%7,485 Natural Resources and Mining3.1%58815.4%2,94626.6%5,075 Other Services3.1%2,518-3.4%-2,7804.8%3,921 Financial Activities3.1%4,515-2.6%-3,7511.2%1,755 Public Administration3.1%4,2210.8%1,123-3.8%-5,248 Construction3.1%3,900-15.5%-19,681-8.5%-10,709 Leisure and Hospitality3.1%7,55017.9%43,811-10.6%-25,915 Education and Health Services3.1%15,43524.3%121,939-6%-30,191 Trade, Transportation, and Utilities3.1%17,557-4.8%-27,191-5.6%-31,738 Total83,846-79,619-16,120