Boston is well-known for being one of the most important technologies hubs on the east coast, which is complemented with its well-renowned universities, but not for its manufacturing sector. In our sample Boston’s manufacturing employment steadily fell down, although payroll (and wages) has increased since 2010. The strong decline in establishments and employment, which has a strong correlation in the manufacturing sector, led us to conclude that Boston’s manufacturing is in decline and should not be expected to increase in the near future.
Boston’s tech-related sector suffered due to the financial crisis but has recovered moderately since 2011. Between 2007 and 2011, tech-related employment decreased by around 5%, however, it has recovered since then and in 2016 recorded a 10% increase in comparison to the level of 2007. Interestingly, the number of establishments never recovered, which could mean that more employees are working in each establishment due to the bankruptcy of some companies or the merging of establishments. Meanwhile, total payroll has increased since 2009; nonetheless, it recorded a steeper increase since 2011 (when employment started to increase again).