Ohio has a significant impact on the U.S economy. This state has experienced a booming economy over the past few years. It is currently the 7th largest economy in the U.S, with a GDP of approximately $ 615 billion. Economic growth has contributed to the affordable cost of living.
Read on to know Ohio’s best-performing sectors.
Statistics indicate that Columbus is among the fastest-growing cities in America. This growth has increased the supply and demand for housing. It has also facilitated the development of more real estate businesses.
The inventory levels of Ohio’s housing market show that the momentum will continue this year. The low mortgage rates, friendly legal climate, and high rent-to-value ratio have attracted more property buyers into this state.
Finance and Insurance
Ohio’s finance sector is an economic giant. It is succeeding due to the friendly business climate and the readily-available pool of tech-savvy talent. Collaboration among different sectors has also contributed to this growth. For example, financial regulators work together with entrepreneurs to identify and solve the problems they face.
Columbus is currently home to many global banking institutions, IT companies, and insurance service providers. Different established and high-growth firms like Root Insurance, Nationwide Mutual Insurance Co., Keybank, and Homeside Financial are taking advantage of the region’s population growth.
Additionally, more academic and vocational training institutions are offering business and finance programs to increase the talent pool for these companies. More than 170,000 students graduate in Ohio annually. Therefore, the health of Ohio’s financial sector creates more jobs and boosts the economy.
Ohio’s construction industry is booming like never before. In November 2021, the value of new construction in Central Ohio was $5.8 billion. Many residential, commercial, and public works projects are happening to accommodate the large number of people moving to Columbus. Examples of strong projects include highways, railways, and manufacturing buildings.
Statistics from the Bureau of Labor also indicate that the number of people employed in the construction sector has increased significantly. Many construction companies are also experiencing a shortage of skilled laborers.
Aerospace and Defense
Ohio is home to many aviation firms. It is among the top five leaders in the production of aerospace parts, with the Dayton area leading. Additionally, more than 38,000 people work in this industry. About 75% of these workers specialize in Aircraft engine manufacturing.
Ohio is Boeing’s top supplier. This industry is likely to grow further as companies like European aeronautical giant Airbus plan to spend more money in the U.S. It is evident that Ohio’s aerospace firms are in a good position for any upcoming aerospace projects.
Defense contractors and systems also contribute significantly to Ohio’s economy. Ohio corporations are among the top suppliers of the United States Department of Defense. Amor Holdings and Lockheed Martin are other weapon manufacturers in this state.
The agricultural industry in Ohio accounts for approximately $125 billion of the state’s GDP. Additionally, an eighth of the Ohio population works in this industry directly or indirectly. This state is among the leading producers of Swiss cheese, eggs, soybean, and corn. The agricultural sector also supports the food processing industry.
Besides food, Ohio also produces tree seedlings and horticultural products from nurseries and greenhouses. For example, it produces about 25, 000 white ash trees annually.
The number of healthcare businesses in Ohio has increased significantly over the past few years. The state has become a hub for advanced healthcare technology. Its mission is to embrace innovation and improve care for all its residents. Researchers, health system investors, and caregivers are collaborating to drive the achievement of this mission.
Ohio’s healthcare industry has attracted global attention by developing innovative treatments in different fields like cancer and heart disease. For example, Nationwide Children’s Hospital has made many inventions in gene therapy, while Cleveland Clinic offers excellent pediatric care.
This growth has also created more jobs for Ohioans and increased tax revenue for the state. It is also attracting world-class investors, bioscience researchers, and healthcare talent.
Ohio’s biotech industry accounts for approximately 15% of the state’s economic output. Over the past few years, this state has become a home to a community of research organizations and manufacturers. Significant players include Meridian and Diagnostic Hybrids, Ethicon Endo-Surgery, and AtriCure.
For this reason, it has become a great place to market promising biomedical ideas. Biotechnology-related companies in this industry employ about 81,085 people indirectly or indirectly. More than 4,000 organizations have the license to manufacture and distribute medicine, medical equipment, and products for essential services.
In summary, Ohio has a strong economic position compared to other U.S states. Various sectors, such as construction, finance, real estate, health, agriculture, and aerospace, have contributed to the robust Ohio economy. More people are moving to this state, hence increasing the demand for essential services like food and health.