| Notes |
Boston has an East Coast geography and
a nonstop flight to Tel Aviv. When picking a
U.S. headquarters location, Israelis greatly
prefer the benefits of an east coast time zone
The Boston-Israel Power Partnership 7
impact for Massachusetts. Using standard
U.S. Bureau of Economic Analysis multipliers,
Israeli-founded businesses generated
billions of dollars of revenue above their own
economic activity, due to their purchase of
office space, professional services, and other
goods and services.
» Represented 3.8% of the state’s overall GDP,
predominantly in the growth sectors of life
sciences and information technology, and
therefore comprising an even larger share of
the state’s innovation economy.
» Grew at more than 2X the rate of
Massachusetts GDP growth. Israeli-founded
businesses tracked since 2012—with
appropriate adjustments for new entrants,
failures, and departures—saw their total
revenue increase at a 9.4% compound
annual growth rate (CAGR). Compared to
the state economy’s GDP growth rate of
4.0% during this period, Israeli-founded
businesses grew more than 2x faster. Even
compared with the state’s high-growth tech
and professional services sectors, qualifying
businesses expanded more than 40% faster.
See figure 2, “Revenue Growth: 2x Faster
Than the State Overall.”
for working with colleagues and family back
home. Plus the BOS-TLV nonstop helps make
Boston stand above the rest, with one of the
few U.S. nonstops to Israel, saving time and
money versus bouncing through connecting
airports. |