The Arizona Tech Boom and the Employment Multiplier

GlobalTranz pic
GlobalTranz
Image: globaltranz.com

Since it opened in 2003 GlobalTranz, a technology-driven logistics firm, has grown an average of 90 percent every year. It ranked third in the Arizona Corporate Excellence (ACE) list in both 2014 and 2015, but behind the rankings is a bigger statement about Arizona. While GlobalTranz scored a 439.7 out of a possible 500 points on the ACE metric used to score revenue growth in 2014, it scored a 474.5 in 2015. This score beat the first-place spot on the 2014 list. This growth can be attributed, in part, to what some are calling the Arizona tech boom.

In February 2016, Arizona governor Doug Ducey announced that Apple was investing $2 billion in a planned Mesa, Arizona, command center, making Apple one of the over 7,600 high-tech companies employing people in the state, according to Forbes. The Arizona Commerce Authority estimates that for each job high-tech companies create in Arizona, 5.8 jobs are created due to the tech industry’s employment multiplier–the number of jobs created indirectly by new job creation. Therefore, while the tech industry benefits from its rapid expansion, so do others in the state.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s