Entrepreneurial Impact: Top 10 U.S. States Driving Economic Growth
Entrepreneurs play a significant role not only in their own financial success but also in driving economic growth at the local level. A recent report by the e-commerce platform Shopify sheds light on the entrepreneurial contributions to various states’ economies in 2022.
Understanding the Study
Shopify’s report analyzed the economic impact of entrepreneurs globally by assessing metrics such as jobs supported, GDP impact, and business activity within the platform’s ecosystem. These metrics encompassed the number of jobs sustained, the value of goods and services produced, and the overall revenue generated by merchants and their suppliers.
Key Findings
In 2022, entrepreneurs within Shopify’s ecosystem globally supported 5.2 million jobs, marking an 8.3% increase from the previous year. This contributed to a total economic activity of $490.5 billion, reflecting an 8.6% growth.
The United States emerged as the leader in Shopify’s global ranking, generating over $270 billion in business activity, supporting 1.1 million jobs, and making a GDP impact of $128.7 billion. Following the U.S. were Lithuania and Romania in the second and third positions, respectively.
Top States in the U.S.
Delaware secured the top spot among U.S. states for entrepreneurial contribution to the economy. It generated $2.2 billion in business activity, supported 9,280 jobs, and had a GDP impact exceeding $1 billion.
The Mountain States emerged prominently in the rankings, with Wyoming, Montana, and Utah occupying the second, fourth, and fifth positions, respectively. California claimed the third spot while also leading the nation in job creation, with 134,024 jobs supported.
Top 10 U.S. States for Entrepreneurial Impact
Delaware:
Business Activity: $2.2 billion
Jobs Supported: 9,280
GDP Impact: $1 billion
Wyoming:
Business Activity: $912 million
Jobs Supported: 3,710
GDP Impact: $416 million
California:
Business Activity: $57.6 billion
Jobs Supported: 235,237
GDP Impact: $26.6 billion
Montana:
Business Activity: $694 million
Jobs Supported: 2,838
GDP Impact: $325 million
Utah:
Business Activity: $6.9 billion
Jobs Supported: 28,081
GDP Impact: $3.1 billion
Nevada:
Business Activity: $3.4 billion
Jobs Supported: 13,885
GDP Impact: $1.5 billion
Alabama:
Business Activity: $2.6 billion
Jobs Supported: 10,832
GDP Impact: $1.2 billion
Florida:
Business Activity: $15.5 billion
Jobs Supported: 63,560
GDP Impact: $7.2 billion
Idaho:
Business Activity: $1.3 billion
Jobs Supported: 5,612
GDP Impact: $639 million
Hawaii:
Business Activity: $826 million
Jobs Supported: 3,380
GDP Impact: $389 million
Conclusion
Entrepreneurs in various U.S. states are playing a pivotal role in driving economic growth, creating jobs, and making substantial contributions to GDP. By fostering an environment conducive to entrepreneurship, these states can further enhance their economic vibrancy and resilience.
