Bureau of Business Research
Date of this Version
11-2020
Abstract
Producer services providers are firms that sell services primarily to the business community rather than to individuals and households. Many producer services businesses are classified in the Professional, Scientific, and Technical Service (PSTS) industry. Accounting firms, consultants, and computer design services are prominent examples of PSTS businesses that are worth studying for three reasons:
1. SUPPORT OF OTHER INDUSTRIES: PSTS industries supply the broader business community, making them a critical segment of the economy.
2. RAPID HIGH WAGE JOB GROWTH: Many PSTS industries are rapidly growing and pay high wages. The producer services sector, in fact, is the principal source of high-wage job growth in our evolving service economy.
3. STEM ASSOCIATION: PSTS industries employ high numbers of STEM workers, itself a critical segment of the economy. By2022 over 40% of the jobs in top STEMoccupations are expected to be in producer service industries1.
This report highlights the performance of the PSTS sector in the nation and Nebraska over the last decade and explores whether the state of Nebraska has captured a significant share of sector employment. The report updates of 2015, 2017, and 2019 reports on the same topic authored by Brock Thompson, Eric Thompson, Uyen Tran, and Kalana Jayanetti. The current report covers a period before the recession caused by the Covid-19 Pandemic.
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Growth and Development Commons, Labor Economics Commons, Macroeconomics Commons, Other Economics Commons, Public Economics Commons, Regional Economics Commons
Comments
Copyright 2020 University of Nebraska, Bureau of Business Research