Top 5 Industries Driving the US Economy
The United States of America has a very strong economy backed by its many industries. The US economy had recovered fully after the infamous Great Recession which brought the country down to its knees.
Before the novel Covid-19 struck, many jobs were being created, running into millions. This witnessed an increase in the minimum wage and the springing up of many businesses.
The covid-19 pandemic had a big impact on the US, but with the rollout of preventive measures and COVID-19 vaccines, things are looking positive. The economy is once again roaring.
The US economy is driven by the following 5 industries:
1. Technology
The US is among the most developed countries in the world, thanks to its technological developments. Technology plays a big role in the US economy. In 2019, Cyberstates reported a growth rate of 11% in employment in IT and computers in the period starting from 2019 up to 2029.
The technology sector experiences growth because of the development of cloud computing which needs additional workers. A look at a List of Industrial Companies from states in the US reveals that the number of IT companies in the US is very high.
2. Healthcare
The US’s healthcare sector is big and sustainable. From 2006 to 2016, the sector created about 2.8 million jobs, which was 7 times the overall job increase in the country. From 2008 to 2018, the health sector grew by 20%, whereas the country’s job growth was merely 3%.
From 2016 to 2016, the Bureau of Labor Statistics expects the health sector to grow at the rate of 18% per year. This is quite high compared to the rate of growth of the US economy.
3. Retail
Retail is the life-blood for many US residents. That’s why it accounts for over 5.5% of the country’s GDP. Retail provides 9.6% of all job opportunities in the country. Retail supports over 25% of all jobs in the US, translating to about 52 million American workers.
Because of the stability of this industry, it mainly employs permanent workers, thus helping to boost the US economy. There are big players in this industry, including eBay, Amazon, and thousands of brick-and-mortar outlets.
4. Construction
The construction industry in the US has witnessed constant growth over the years. It is one of the industries that support the US economy. The industry employs civil engineers, contractors, non-residential and residential builders, and manual laborers.
The Bureau of Labor Statistics states that extraction and construction occupations will grow by 4% in the 10-year period from 2019–2029.
This growth is partly fueled by an increase in population, which results in new demand for new roads, buildings, and other structures. In 2019 alone, up to $1.365 was spent in the construction industry, according to the Census Bureau.
5. Non-durable Manufacturers
Companies that manufacture non-durable products are very popular in the US. Non-durable products include clothing, electricity, gasoline, and all other products that normally don’t last more than three years.
These non-durable products are the strongest pillars of the US economy because they have to be produced continuously. They account for over 4 million jobs in the US.
Final Word
All the industries discussed above are important for the US economy. The IT and technology industries in the US are very important because they permeate nearly all other industries. There’s no industry that doesn’t depend on IT and technology.
