“Software, Jobs Go Begging, Threatening Technology Boom”: Computer Services Employment in U.S. Metropolitan Areas, 1982 and 1993

Abstract

The campaign to promote the networking of America underscores the importance of information infrastructures that can support regional competitiveness. One crucial element of a regional information infrastructure is a computer services (CS) industry that supports computer systems, provides backward and forward linkages among all sectors of the economy, serves as engines for economic growth, enhances production efficiency, and encourages innovation. But research on metropolitan CS has been limited, and where CS are analyzed directly, spatial units of analysis vary and CS are rarely disaggregated. This paper situates CS employment within spatial analyses of producer services, outlines infrastructural characteristics, analyzes CS distribution across metropolitan areas in 1982 and 1993, and considers the implications of the findings. The data suggest that while large metropolitan areas are most likely to have a diverse base of specializations in multiple CS types, many smaller metropolitan areas possess CS specializations. We conclude that ranking in the urban CS hierarchy is more likely to be a function of local economic structure than metropolitan population. The uneven dispersion of CS capacity across metropolitan areas potentially has negative ramifications for implementation of national policy and development of underserved regional economies.