Advertisement

Header Utility Menu

  • Subscribe
  • Advertise
  • Contact Us
  • Events

LinkedIn Facebook Twitter Instagram Get Our App

Virginia Business

Mobile Menu

  • Issues
  • Industries
    • Banking/Finances
    • Business Law
    • Commercial Real Estate
    • Economic Development
    • Education
    • Energy/Green
    • Government
    • Healthcare
    • Hotels/Tourism
    • Insurance
    • Ports/Trade
    • Small Business
    • Technology
  • Regions
    • Central Virginia
    • Eastern Virginia
    • Northern Virginia
    • Roanoke/New River Valley
    • Shenandoah Valley
    • Southern Virginia
    • Southwest Virginia
  • Reports
    • Best Places to Work
    • Business Person of the Year
    • CEO Pay
    • Coronavirus 2020
    • Fantastic 50
    • Generous Virginians Project
    • Legal Elite
    • Maritime Guide
    • Site Locator
    • The Big Book
    • Virginia CFO Awards
  • Company News
    • For the Record
    • People
  • Opinion
  • Lists
  • Awards
    • Virginia 500
    • Legal Elite
    • CFO Awards
    • Big Book of Lists
    • 100 People To Meet
    • Best Places To Work
  • Virginia 500
    • Read the issue
    • Order a copy
    • Buy an award plaque
    • Nominate execs for 2021

Advertisement

Header Primary Menu

  • Issues
    • March 2021
    • February 2021
    • January 2021
    • December 2020
    • November 2020
    • Issues Archive
  • Industries
    • Banking/Finances
    • Business Law
    • Commercial Real Estate
    • Economic Development
    • Education
    • Energy/Green
    • Government
    • Healthcare
    • Hotels/Tourism
    • Insurance
    • Ports/Trade
    • Small Business
    • Technology
  • Regions
    • Central Virginia
    • Eastern Virginia
    • Northern Virginia
    • Roanoke/New River Valley
    • Shenandoah Valley
    • Southern Virginia
    • Southwest Virginia
  • Reports
    • Best Places to Work
    • Business Person of the Year
    • CEO Pay
    • Coronavirus 2020
    • Fantastic 50
    • Generous Virginians Project
    • Legal Elite
    • Maritime Guide
    • Site Locator
    • The Big Book
    • Virginia CFO Awards
  • Company News
    • For the Record
    • People
  • Opinion
  • Lists
  • Awards
    • Virginia 500
    • Legal Elite
    • CFO Awards
    • Big Book of Lists
    • 100 People To Meet
    • Best Places To Work
  • Virginia 500
    • Read the issue
    • Order a copy
    • Buy an award plaque
    • Nominate execs for 2021

Home News Regions Eastern Virginia Study shows Virginia’s dependence on federal spending

Study shows Virginia’s dependence on federal spending

Published November 26, 2013 by Robert Powell, III

A study released Monday shows Virginia’s economy continues to be dependent on federal spending for many jobs.

The report by Keith Hall and Robert Greene of the Mercatus Center at George Mason University says private-sector jobs funded by federal contracts in Virginia make up 10.7 percent of the commonwealth’s total nonfarm payroll employment.

That is the highest percentage of the 50 states, with the national average being 2.7 percent.

Virginia was followed by New Mexico and Maryland, both at 7.7 percent. The lowest percentages were found in Oregon and Delaware, both at 0.7 percent.

The combined total of federal contract-funded jobs and public-sector jobs make up 29.8 percent of the commonwealth’s nonfarm payroll, second only to New Mexico’s 31.9 percent, according to the study.

Trailing Virginia was Alaska, 29.3 percent and Mississippi, 28.2 percent.  The national average is 19.2 percent.

The state with the lowest percentage is Rhode Island, 14.3 percent.

Turning the percentages around, Rhode Island led the nation with “real” private-sector jobs as a ratio of total nonfarm employment, 85.7 percent.

The study authors defined real private-sector jobs as those not funded by government spending.

Virginia was 49th on this list at 70.2 percent. The national average was 80.8 percent.

Looking at growth for real private-sector jobs during the past five years (2007-12), the study found only eight states with overall gains.

They are North Dakota (24.6 percent), Alaska (6.7 percent), Texas (5.6 percent), South Dakota (1.7 percent), New York (1.6 percent), Louisiana (1.5 percent), Vermont and West Virginia, (both 0.5 percent).

Virginia showed a decline of 2.8 percent, dropping from 2.691 million private-sector jobs  in 2007 to  2.615 million in 2012, slightly better than a national average of 3 percent.

Nevada had the highest percentage of lost private-sector jobs, 13.1 percent.

Related Stories

Virginia Business logo

Two Va. companies included in $165.1M Army, Navy contract

QED Systems Inc. and Gibbs & Cox will provide support for assault craft, subs and ships

Virginia Business logo

Business optimism down among GovCon officials

Industry pressures include COVID-19, stock volatility, social justice

Virginia Business logo

Newport News federal contractor acquires Vienna firm

ITA International closes deal with Innovative Decisions Inc.

Trending

Norfolk’s MacArthur Center may meet the wrecking ball

Heavy hitters

Virginia State Capitol. Photo by Conor Lobb, VCU Capital News Service

UPDATED: Va. becomes 2nd state with consumer data protection law

The Virginia Executive Mansion will be occupied by a new (or possibly returning) governor in January 2022. Photo by Kira Jenkins

Election 2021: Who’s running for governor?

University of Richmond names new president

Sponsored Stories

Supply Chains After a Year of Disruptions

The Jackson Ward Collective is equipping Black-owned small businesses with the tools for success

The Hottest Topic in 2021: Keeping People Connected

Advertisement

Advertisement

Trending

Norfolk’s MacArthur Center may meet the wrecking ball

Heavy hitters

Virginia State Capitol. Photo by Conor Lobb, VCU Capital News Service

UPDATED: Va. becomes 2nd state with consumer data protection law

The Virginia Executive Mansion will be occupied by a new (or possibly returning) governor in January 2022. Photo by Kira Jenkins

Election 2021: Who’s running for governor?

University of Richmond names new president

Sponsored Stories

Supply Chains After a Year of Disruptions

The Jackson Ward Collective is equipping Black-owned small businesses with the tools for success

The Hottest Topic in 2021: Keeping People Connected

Get Virginia Business directly on your tablet or in your mailbox!

Subscribe to Virginia Business

Advertisement

Advertisement

Footer Primary Menu

  • virginiabusiness.com
  • Subscribe
  • Advertise
  • About Us
  • Contact Us

Footer Secondary Menu

  • Industries
  • Regions
  • Reports
  • Company News
  • Events

Sign Up For Our Newsletter

Sign Up

LinkedIn Facebook Twitter Instagram Get Our App

Privacy Policy Cookie Policy

Footer Utility Menu

Copyright © 2021 Virginia Business. All rights reserved.

Site Maintained by TechArk