Gross Domestic Product from Ohio

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Gross Domestic Product from Ohio GROSS DOMESTIC PRODUCT FROM OHIO JANUARY 2020 Don Larrick, Principal Analyst Office of Research, Ohio Development Services Agency P.O. Box 1001, Columbus, Oh. 43216-1001 Steven Kelley, Editor TABLE OF CONTENTS Page Introduction 1 Introduction - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 2 Highlights 3 Description of Ohio’s Economy- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 5 Ohio’s Economy in 2018 7 Comparing the Distribution of Economic Activity in Ohio with That of the U.S. - - - - - - - - - - - - - - - - - - - - - - - 9 Ohio’s Ranks Among the States and the World 14 The Geography of Ohio’s Economy- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 17 The Distribution of Gross Domestic Product by County, 2018 19 County Contributions to Ohio’s Gross Domestic Product by Sector, 2018 - - - - - - - - - - - - - - - - - - - - - - - - - - 22 The Distribution of Gross Domestic Products in Metropolitan Areas, 2018 27 Recent Changes in Ohio’s Economy- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 29 Gross Domestic Product from Ohio: 1998 – 2018 31 Removing the Effects of Inflation- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 33 Motor Vehicles and Other Concentrated Durable Goods Industries 35 Concentrated Non-durable Goods Manufacturing - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 41 i Other Major Manufacturing Industries 43 Natural Resources and Related Industries - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 45 Infrastructure 47 Transportation and Warehousing – Moving and Storing Freight - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 49 Transportation – Passenger Services 51 Information - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 53 Financial, Real Estate, Rental and Leasing Activities 55 Professional and Business Services - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 57 Health Care and Social Assistance 59 Leisure and Hospitality- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 61 Trade, Education and Other Private Sector Services 63 Federal, State and Local Government- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 65 Summarizing Changes: 2007-2009 67 Summarizing Changes: 2009-2018- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 69 Recession and Recovery in Metropolitan Areas and Counties 71 Past Changes and Forecasts for the Future: Three Parts - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 73 Appendices 85 Terminology 86 ii Detailed Tables 87 Table A1: Ohio’s GDP by Sector, 2018 (current dollars) 89 Table A2: 2018 GDP by County and Sector (current dollars) 90 Table A3: Ohio and U.S. GDP by Sector, 1998-2018 (chained dollars) 112 Table A4: Comparing Ohio and U.S. GDP by Industry – Durable Goods, 2007-2017 114 Table A5: Comparing Ohio and U.S. GDP by Industry – Non-durable Goods, 2007-2017 116 Table A6: Comparing Ohio and U.S. GDP by Industry – Natural Resources, 2007-2017 118 Table A7: Comparing Ohio and U.S. GDP by Industry – Transportation and Warehousing, 2007-2017 120 Table A8: Comparing Ohio and U.S. GDP by Industry – Information, 2007-2017 122 Table A9: Comparing Ohio and U.S. GDP by Industry – Finance-Insurance-Real Estate, 2007-2017 124 Table A10: Comparing Ohio and U.S. GDP by Industry – Professional/Business Services, 2007-2017 126 Table A11: Comparing Ohio and U.S. GDP by Industry – Health Care and Social Assistance, 2007-2017 128 Table A12: Comparing Ohio and U.S. GDP by Industry – Leisure and Hospitality, 2007-2017 130 Table A13: Comparing Ohio and U.S. GDP by Industry – Government, 2007-2017 132 Table A14: Comparing Ohio and U.S. GDP by Industry – Infrastructure, Trade, Education and Other Services, 2007-2018 134 Table A15: Ohio’s GDP by Industry – Sorted by 2017 Concentration Ratio 137 Table A16: Ohio’s GDP by Industry – Sorted by Percentage Change, 2007-2017 138 Table A17: Ohio’s GDP by Industry – Sorted by Size in 2017 139 Table A18: Value-Added and GDP in Manufacturing Industries in Ohio and the U.S., 2016 141 Table A19: Value-Added in Manufacturing by Industry Group in Ohio and the U.S., 2016 142 Table A20: Ohio::U.S. GDP and County Business Patterns Concentration Ratios 149 Table A21: Group or Sub-group Employment Concentration Ratios Based on 2017 CBP Employment 151 Table A22: Changes in GDP for Ohio and Counties, 2007-2018 164 Table A23: GDP and Population in Ohio and the U.S., 1998-2018 169 Table A24: Growth and Industry Concentration in Ohio’s Economy, 1997-2017 170 Table A25: Percentage Changes in Ohio and U.S. GDPs by Industry, 1997-2017 (chained basis) 173 Notes - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 176 Sources and References Cited 182 iii INTRODUCTION 1 INTRODUCTION This report provides an overview of Ohio’s economy and its role in the U.S. economy. It looks at the production of goods and the provision of services by people using capital located here; i.e., the Gross Domestic Product (GDP) from Ohio. There are four major sections after this introduction and highlights. The first describes the composition of Ohio’s econ- omy, comparing it with other states and the national distribution of economic activity. The second notes the distribution of economic activity in Ohio by county and selected metropolitan areas. The third focuses on output by sector and the major industries therein, noting the key groups or specific industries within the major industries and their relative concentrations in Ohio as well as recent trends here and across the nation. The last is an appendix containing a section on terminology and data tables for those seeking a more-detailed understanding of recent economic activity here. The graphs and most of the discussions herein are based on, and refer to, the appendix tables. The report describes economic activity from 1997 through 2018 but concentrates on 2007-2017 for the more detailed analyses of sectors and the major industries therein. Data were collected and prepared by the U.S. Bureau of Economic Analysis (BEA). The detailed GDP estimates are based on state and local taxes, value-added reports and company fi- nancial data. The BEA also has released initial total and sector-summary estimates for 2018. Figures for more recent years may have been revised from previous reports based on new and revised data from at least 19 federal agencies. See Platt and Mead (2017) for more details. The U.S. Bureau of the Census, other federal agencies, and several private sector organizations developed additional statistics cited in this report. Total and sector figures for metropolitan areas and counties recently were released and have been incorporated into this expanded edition. While revised state-level figures also were released with the metropolitan and county statistics, the new state-level statistics have, with few exceptions, not been used due to time constraints. However, County Business Patterns data have been updated to 2017. 2 HIGHLIGHTS • Ohio’s 2018 Gross Domestic Product is initially estimated at $676.2 billion, up 4.7 percent from the revised 2017 esti- mate of $645.8 billion and its ninth consecutive year of growth. • Growth has continued through the third quarter of 2019, most recently at a seasonally adjusted annual rate of 1.7 percent after adjusting for inflation. • Ohio is the 7th largest source for the U.S. Gross Domestic Product with 3.3 percent of the national total in 2018. • If Ohio was a separate country, it would be the 36th largest national economy in the world. • Manufacturing is the largest of the 20 sectors in Ohio’s economy with 16.6 percent of its total output in 2018; durable goods were the larger part of manufacturing with 9.4 percent while non-durable goods were 7.2 percent. • Ohio’s manufacturing sector produced $112.2 billion worth of goods – 4.8 percent of America’s manufacturing output in 2018, ranking it 3rd after California and Texas. • Ohio is a leading source for many manufactured goods: primary and fabricated metal products as well as non-metallic mineral products, plastic and rubber goods, machinery, electrical equipment and appliances, and transportation equip- ment – especially motor vehicles and associated parts. • Ohio recently emerged as a leading source for oil and natural gas, and now 4th-ranked with 4.8 percent of national out- put; it also is a prominent provider of related petroleum and coal products and pipeline services. • Major service industries concentrated here include banking and related services, insurance, trucking, warehousing and storage, hospitals, nursing and residential care facilities, waste management and remediation, and enterprise manage- ment (55 Fortune U.S.-1,000 companies have their headquarters here, with seven of those on Fortune’s Global-500 list). • The Cleveland-Elyria and Columbus metropolitan areas, combined
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