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Economic Development Quarterly
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Adding Meaning to Measurement

Evaluating Trends and Differences in Innovation Capacity Among the States

Jeremy L. Hall

University of Texas at Dallas

How do states compare to one another, and to themselves, in innovation capacity and past innovation performance? Are there groups of states that are more or less similar in innovation capacity composition? Because different score dimensions vary independently, it is possible for states to be high on some dimensions and low on others. In an effort to give greater meaning to innovation index scores, it is necessary to evaluate the relationships among them. This article subjects Hall's innovation capacity index scores to cluster analysis to reveal clusters of states that are similar in innovation capacity levels across the three dimensions considered. A cluster typology is created, and state changes in typology are observed and compared over the 20-year period of the data set. Patterns observed across states and over time will help policy makers to identify major changes in their typology that may reflect goal progress or regression.

Key Words: innovation capacity • cluster analysis • measurement • state performance • economic development

This version was published on February 1, 2009

Economic Development Quarterly, Vol. 23, No. 1, 3-12 (2009)
DOI: 10.1177/0891242408326467
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