Industry Concentration Brief and Dashboard

Industry Concentration Brief

This brief explains which industries in Missouri are highly concentrated and why concentration analysis is important in understanding what makes a region's economy unique.

Note: Location Quotient (LQ) is a ratio of the relative distribution of industry employment in a region to that industry’s distribution in a larger economy. An LQ greater than 1 indicates that the industry is more specialized, and employment is more concentrated for that industry in the region, as compared to the United States as a whole. An LQ greater than 1 indicates that the industry is less specialized, and employment is less concentrated. An LQ of 2 would mean that the industry’s employment is twice as concentrated in the region, as compared to the United States.