Economic Contributions of the Green Industry in the United States in 2007-08
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Economic contributions of the green industry in each state of the United States were estimated for 200708 using regional economic multipliers, together with information on horticulture product sales, employment, and payroll reported by the U.S. Economic Census and a nursery industry survey. Total sales revenues for all sectors were $176.11 billion, direct output was $117.40 billion, and total output impacts, including indirect and induced regional economic multiplier effects of nonlocal output, were $175.26 billion. The total value added impact was $107.16 billion, including employee compensation, proprietor (business owner) income, other property income, and indirect business taxes paid to state/local and federal governments. The industry had direct employment of 1.20 million full-time and part-time jobs and total employment impacts of 1.95 million jobs in the broader economy. The largest individual industry sectors in terms of employment and value added impacts were Landscaping services (1,075,343 jobs, $50.3 billion), Nursery and greenhouse production (436,462 jobs, $27.1 billion), and Building materials and garden equipment and supplies stores (190,839 jobs, $9.7 billion). The top 10 individual states in terms of employment contributions were California (257,885 jobs), Florida (188,437 jobs), Texas (82,113 jobs), North Carolina (81,113 jobs), Ohio (79,707 jobs), Pennsylvania (75,604 jobs), New Jersey (67,993 jobs), Illinois (67,382 jobs), Georgia (66,042 jobs), and Virginia (58,677 jobs). The total value added of the U.S. green industry represented 0.76% of U.S. Gross Domestic Product (GDP) in 2007, and up to 1.60% of GDP in individual states. On the basis of a similar previous study for 2002 (Hall et al., 2006), total sales of horticultural products and services in 200708 increased by 3.5%, and total output impacts increased by 29.2%, or an average annual rate of 5.8% in inflation-adjusted terms.
