Life Sciences Innovation as a Catalyst for Economic Development: The Role of the Massachusetts Life Sciences Center

This report provides an up-to-date, independent evaluation of the $1 billion, 10-year Massachusetts Life Sciences Initiative and the Massachusetts Life Sciences Center (MLSC) charged with the responsibility of carrying out its mission. The initiative was established in July 2008 by Governor Deval Patrick's Administration and the Legislature to encourage the growth of discovery and production in the life sciences, including biotechnology, pharmaceuticals, medical diagnostics, medical devices and bioinformatics in the Commonwealth. Based on the region's existing comparative advantage in life sciences research and development (R&D) emanating from the laboratories of its leading universities and medical institutions, this substantial infusion of public funds was undertaken with the ambitious goal of making this cluster of industry sectors the most successful in the world. This evaluation comes at a propitious time, given the state of fiscal affairs in the Commonwealth and the nation. Virtually every unit of government is scrutinizing the use of each tax dollar to ensure that public revenue is being spent effectively and efficiently. Put simply, our goal in this evaluation was to gather as much data as possible to assess whether the Commonwealth's sizeable commitment of public resources is paying off in the form of a life sciences "super cluster" capable of attracting massive amounts of investment dollars, generating well-paying jobs for Massachusetts residents and yielding additional tax revenue for the Commonwealth

The Albelda Clayton-Matthews Paid Family and Medical Leave Simulator Model Documentation

The basic strategy behind our approach to estimating the cost of a paid leave program in Massachusetts was to, as much as possible, base estimates of program costs on actual known leave-taking behavior, and where this was not possible, to estimate a range of program costs reflecting a range of reasonable assumptions about unknown aspects of behavior in the presence of a paid leave program. We wanted to be able to estimate the sensitivity of program costs estimates to these assumptions. We also wanted to be able to analyze the distribution of program benefits by demographic characteristics. Furthermore, we wanted users to be able to estimate the costs of similarly structured paid leave benefit programs in other states, to be able to have some control over the assumptions about behavior that affect program cost estimates, and to be able to undertake their own distributional analyses. We chose a simulation strategy as the best way to accomplish these goals. To obtain the best estimates possible about known leave-taking behavior, we use the Public Use Family and Medical Leave survey data collected by Abt Associates in 2012 for the Department Labor (referred to here as the DOL Survey) (McGarry, et al, 2013) to estimate behavioral models of leave-taking behavior conditional on the demographic characteristics of individuals, and use the Census Bureau’s American Community Survey Public Use Microdata Sample (hereinafter referred to as the ACS or ACS PUMS) to predict leave-taking behavior conditional on the demographic characteristics of individuals

Massachusetts Immigrants by the Numbers, Second Edition

Massachusetts Immigrants by the Numbers, Second Edition: Demographic Characteristics and Economic Footprint contains the most credible information to date on immigration in Massachusetts

Fueled by Technology Market Demand, Massachusetts Economic Growth Increases

The pace of economic growth in Massachusetts has picked up significantly, beginning in the fourth quarter of last year, reflecting improved worldwide markets for information technology equipment in the last half of 2005. This resurgence in technology markets helped reverse a deceleration in state economic growth that the state experienced between mid-2004 and the third quarter of 2005. The Massachusetts economy has performed better over the last six months than at any time since the current expansion began in the second quarter of 2003. The recent pace of expansion matched the long-term average growth in real gross state product of 3.6 percent over the 1975–2004 period

Economic Currents: The State of the State Economy

While the state’s economy is still growing, albeit at a much slower rate than in the 1990s, there is a risk of a serious deceleration of economic activity. The evidence we have still favors a “soft landing” for the economy, but the risks of recession appear to have risen substantially

Economic Currents: The State of the State Economy

Statewide numbers paint a picture of declining employment and output, continuing widespread layoffs, slow wage and income growth, rapidly declining consumer confidence, weak consumer spending, stagnant tax revenues, high vacancy rates in the commercial real estate market, and no clear sign of growth in demand for the state’s technology products

Recession Grips the Bay State

Economic activity in Massachusetts is on the decline. According to the current economic index, real gross state domestic product grew at only a 0.6 percent annual rate in the third quarter, and the leading index is predicting that the state’s economy will decline at a 1.5 percent annual rate over the six months november 2008 through april 2009. Massachusetts is in a recession

Economic Currents: The State of the State Economy

The Massachusetts economy has not fully caught up with the news that labor shortages are constraining growth. Real gross state product (GSP), as proxied by the Massachusetts Current Economic Index, grew at an annualized rate of 4.3 percent in the first quarter of 2000, only moderately below the 5.4 percent pace of U.S. gross domestic product (GDP). Employment-related measures over the twelve-month period ending in April bear this out. The number of employed Massachusetts residents increased by 1.3 percent, and the number of jobs in the state grew by 2.1 percent, matching the expansion-average annual rate of job growth. Employment gains continued to outpace both population and labor-force growth, driving the unemployment rate down to 2.8 percent in April. Furthermore, the near-term outlook is for continued demand pressure, despite the sharp correction in stock markets in March and April. The Massachusetts Leading Economic Index for April, a forecast of real GSP over the next six months, stood at 3.1 percent. The index is composed of 10 indicators, including the Bloomberg Stock Index. Weakness in the stock index was more than offset by strength in employment, labor earnings, and motor vehicle purchases. Though the leading index is indicating a continuation of above-trend growth, the 3.1 percent projection does represent moderation from earlier in the year

Endnotes: About Composite Economic Indexes

Just as there are different motivations for wanting to know the weather, there are different motivations for wanting to know current, past, and future economic conditions. A firm or a government agency whose revenues or tax receipts depend on the level of economic activity needs to be able to plan budgets accordingly. Others, such as the Federal Reserve System and financial analysts, need to make decisions based on the state of the economy. An economist needs to know the “facts” about the economy before explaining them

Economic Currents: The State of the State Economy

The Commonwealth’s economy appears to have bottomed out and may already have started to expand. The Massachusetts Leading Economic Index for February forecasts that real gross state product will grow at an annualized rate of 1.8 percent through August. This is the fourth consecutive positive reading. Furthermore, the current economic index has remained steady for three months in a row