Abstract
In the past, New England was looked on as an area with shrinking industry and stagnant cities. Today, however, New England has a healthy manufacturing base which is growing at a higher rate than the national average, an unemployment rate which is lower than most other regions, and many cities which are rejuvenating themselves. An analysis is presented of the strengths and weaknesses of New England's economy in the 1980s. The picture that emerges is one of good growth prospects for the important durable goods industries and the professional services related to them. The lack of natural resources and poor geographical location which have worked against the region in the past are becoming less significant liabilities as New England's economic activity turns more and more to durable goods with very high value-to-weight ratios and to export-oriented services in which the region has a sharp comparative advantage. Due to favorable growth prospects for high technology goods, manufacturing employment may increase in size relative to government, trade, and services. New England is also almost certain to see an expansion of defense jobs in the early eighties.