The Baltimore region?s Gross Domestic Product (GDP) rate of increase from 2004 to 2005 ranked among the middle of the pack of 363 U.S. metropolitan areas, but the region is outpacing areas of similar size and makeup.
The region?s GDP increased from $103.1 billion in 2004 to $106 billion in 2005 ? a 2.8 percent increase ? according to estimates released Wednesday for the first time by U.S. Department of Commerce?s Bureau of Economic Analysis (BEA). (Click here to read the full report.)
GDP,the measure of the market value of final goods and services produced within a metropolitan area in a particular period of time, is the BEA?s “most comprehensive measure of economic activity.”
The Baltimore region ranked 177th out of the 363 regions in terms of growth from 2004 to 2005.
“I?m a little surprised at the ranking,” said Richard Clinch, a University of Baltimore economist. “We look average compared to all of the metropolitan areas, but when you compare Baltimore to benchmark regions, the city tends to look a little better.”
Looking at regions comparable to the Baltimore region, from 2004 to 2005, the Cleveland region?s GDP increased 0.6 percent (ranking 299th), the Pittsburgh region?s GDP increased 0.7 percent (294th), the Philadelphia region?s GDP increased 1.6 percent (247th) and the Cincinnati region?s GDP increased 1.9 percent (233rd).
The BEA included how much of Baltimore?s 2.8 percent increase the specific business sectors contributed to the region?s GDP increase, though about half of the sectors? contributions were not reported for confidentiality reasons. Education and health services, financial activities and information sectors were reported as significant contributors to the Baltimore region?s GDP.
“Though it wasn?t reported, the real driver has been business and professional services, while manufacturing has declined by a couple tenths of a percent,” Clinch said.
The U.S. metropolitan portion of the GDP increased 3 percent from 2004 to 2005, after increasing 3.8 percent from 2003 to 2004.
The Washington region?s GDP increased from $298.6 billion in 2004 to $313.4 billion in 2005, a 5 percent increase, ranking the region 75th.
The Palm Coast region in Florida ranked first with a GDP increase from $1.7 billion in 2004 to $2 billion in 2005, a 19.4 percent jump.
