+

Cookies on the Business Insider India website

Business Insider India has updated its Privacy and Cookie policy. We use cookies to ensure that we give you the better experience on our website. If you continue without changing your settings, we\'ll assume that you are happy to receive all cookies on the Business Insider India website. However, you can change your cookie setting at any time by clicking on our Cookie Policy at any time. You can also see our Privacy Policy.

Close
HomeQuizzoneWhatsappShare Flash Reads
 

Here's how we ranked the states' economies

Aug 3, 2015, 17:26 IST

YouTube / Pi

In our ranking of the economies of the states and DC, we looked at seven measures of economic health. Each of the measures was rescaled to allow us to compare them to each other. Technically, we calculated z-scores for each state on each measure. To make the combined ranking, we averaged together the seven indicator z-scores for each state to create an overall economic index.

Advertisement

Here are the sources for each of our measures:

To give a little extra context to each state's economic situation, we looked at the Fortune 1000 companies headquartered in each state. We also looked deeper into the Q4 2014 Quarterly Census of Employment and Wages data to see what industries (defined by five-digit NAICS codes) had a disproportionately large share of employment in each state according to their location quotients.

NOW WATCH: League of Millions: Inside the video game phenomenon that's selling out global arenas and earning stars up to $1 million

Please enable Javascript to watch this video
Next Article