New reports suggest efforts focused on boosting technology-related research and development in Indiana are paying off. The Ball State University Center for Business and Economic Research says job totals, gross domestic product and personal income levels in the sector all rose as a result of federal and state investment.
The first study focused on activity between 2010 and 2014. CBER says during those years, $27 million was awarded to 74 organizations through several high-profile programs, which helped lead to 323 jobs, an $18 million bump in GDP and $16 million in personal income.
CBER Research Assistant Professor Srikant Devaraj says funding such initiatives has had "a significant positive impact" on Hoosier tech companies. Devaraj, who collaborated on the research with CBER Director Mike Hicks, adds "more importantly, these organizations are leveraging the funds they receive from Indiana to acquire loans and investments from banks and other venture capitalists. Receiving a grant from one of the funds is seen as a stamp of approval by outside groups. This certainly helps these companies expand."
Marion and Hamilton County recipients accounted for around three-quarters of the funding totals from sources including Indiana’s 21st Century Research and Technology Fund, the Indiana Angel Network and Indiana High-Growth Fund, the Small Business Innovation Research and Small Business Technology Transfer programs and support from the U.S. Department of Energy’s Office of Science.
The second study involved examination of the performance of firms either receiving or being rejected support from the 21st Century Fund. The results show recipients average annual wages, sales and productivity were all higher than non-recipients. Due to the results, Hicks says he recommends continuing the program as it’s structured through 2020.
You can connect to both reports, which were funded by the Indiana Economic Development Corp., by clicking here.