AKA the “More Diversified Than An Index Fund” State
Maryland was the 7th state to ratify the Constitution. It was started by a guy who wanted to set up a colonial presence for Catholics. It was named after the Catholic wife of the Protestant King Charles I, Henrietta Maria. Maryland is sandwiched between Pennsylvania, Delaware, West Virginia, and Virginia. Most non-residents will think of only a couple of things when they think of Maryland, Baltimore (and The Wire) and Washington DC. You’re right for the most part, but we’ll get to them last.
There’s more to this state than the big cities. Just as the Heisman Trophy sticks his arm out, so does Maryland into the hilly areas of Appalachia. Like most mountainous regions, the area is quite rural and lends its similarities
to West Virginia and Pennsylvania more than the traditionally populated parts of Maryland. Like its neighboring states, this area is popular for coal mining and dairy farming. Heading southeast to the coast you’ll find beautiful beaches, or perhaps a beautiful beach. The peninsula that serves as Maryland’s beaches is shared with Delaware and Virginia, with those folks getting most of the coastline facing the Atlantic. Maryland basically has Ocean City, MD for their coastal needs, much of the rest of their beach is the protected Assateague Island National Seashore which lends itself to visitors, but not development. It’s in the flatter areas of Maryland that much of the agriculture for the state takes places. Salisbury is home of Perdue Farms, who probably processed the chicken you had last night for dinner. An addition to chicken farming, Maryland produces cucumbers, watermelons, peas, corn, tomatoes, and even has some room for tobacco.
Maryland is also home to a large, but highly diverse, manufacturing base. No one industry or company dominates this, but the various facilities include computer equipment, electronics, chemicals, and a dwindling presence in steel. Being diversified is highly desirable for a state, however without leadership in a specific industry they are also vulnerable to the overall reduction in factory work in the United States as a whole.
Luckily, Maryland has a few tricks up its sleeve. Head north to Baltimore and you’ll find a city rich in culture, history, and… crime. Sadly, the murder rate is 3 times that of Los Angeles, and 6 times New-York City in murders per 100k citizens. Other than that it’s all good. The Charm City was and remains an important distribution center for many imported materials destined for industrial centers further west. Baltimore suffered a similar fate as the industrial sector in the 20th century, however they’re recovering faster than, say, Detroit. Legg Mason, T Rowe Price, Grace Chemicals, Black & Decker, and Constellation Energy all call the Baltimore metropolitan area home. Baltimore can also claim ownership of one of the best medical facilities on the planet. We all know it as Johns Hopkins, birthplace of neurosurgery, urology, endocrinology, pediatrics, cardiac surgery, and child psychiatry; it has been ranked as the best hospital in America for the last 18 years by US News and World Report.
But in a recession even the stability of the medical field is tested. If you want to truly have an awesome economy, you need government money. Hop on interstate 95 heading south and you’ll run into the teat of the free world. Locals call it the Capital Beltway which is a gigantic circle of highway that makes a circle around the Washington DC metropolitan area. When we think of government agencies, we often think of DC itself. Well drive through there and you’ll notice it’s kind of cramped. So many government agencies are located near Washington, but not in it. Here are just of few located in Maryland, most of which are near the beltway: Census Bureau, Department of Energy, Environmental Protection Agency, Food and Drug Administration, Internal Revenue Service, National Security Agency, and Social Security Administration. In addition to federal departments, MD is home to Camp David (the President’s official vacation home), the National Naval Medical Center (basically where our elected officials get medical care), and Andrews Air Force Base where the Air Force One lives. Of course because this is a major metropolitan area many people live in Maryland and commute to DC and serve in many other capacities.
The final area of the economy is education, which is closely related to the government agencies. Research is both in sourced and outsourced. Most outsourced research goes to universities, a large portion of this money stays local. Johns Hopkins isn’t just a hospital, it’s also a university. Maryland is also home to the appropriately named University of Maryland at College Park, which is a part of the Consortium of Universities of the Washington Metropolitan Area which also includes such prestigious schools as Georgetown University and George Washington University, among others.
As a result of all this Maryland has the highest median household income in the country, at over $68,000; this is ahead of New Jersey and Connecticut which are 2nd and 3rd. Despite being the 9th smallest state in land area and a having a questionably odd flag, Maryland serves as the poster child of a diversified and well-balanced state.
Ocean City Beach Photo: Bravo213
 By The Weakonomist |
The Weakonomist is the founder of Weakonomics. Clicking the picture of the puppy will tell you more about him. If you like what you're reading consider subscribing to the blog, following him on Twitter, and checking out the related posts below. Please consider a donation if you really enjoy Weakonomics. Also keep in mind that nothing I say can be construed as financial advice. |
