Many MSAs with a significant share of high-tech employment are on the coasts.
However, the intensity of high-tech employment varies significantly as it does in San Jose (28%), Washington D.C. (15%), San Francisco (14%), Boston (11%) and New York City (5%).
We are focusing on these five MSAs because they are among the largest in terms of high-tech employment. Next, we explore variation in employment intensity and creation of new high-tech businesses over time.
Figure 2 shows that San Jose had a much higher share of employment in high tech than all other MSAs but each of these MSAs exhibited different trends over time.
For example, over 29% of employment in San Jose in the 1980s was in the high-tech sector but the share fell to an average of 24% between 2002 and 2020.
San Jose, Boston (BOS), and New York City (NYC) saw a decrease in high-tech employment intensity since the 1980s. In stark contrast, Washington, D.C. (DC) and San Francisco (SF) saw increases, more than doubling in the case of San Francisco.