Location Quotients for Private Industry

Location quotients (LQs) provide quantitative indications of an area’s industry specializations by comparing the area’s economic composition to that of the United States as a whole. In the chart below, industries toward the top are disproportionately represented in Barnstable County (LQ), and those toward the right are growing faster than in the national economy (LQ growth).

The industries with the highest 2020 LQs based on annual average employment were Arts, Entertainment, and Recreation; Accommodations and Food Services; and Retail Trade. This indicates that these industries play proportionally larger roles in the regional economy than in the national economy, serving as ‘core industries’ in Barnstable County. The industries with the lowest 2020 LQs were Management of Companies and Enterprises, Manufacturing, and Wholesale Trade. This indicates that these industries play proportionately lower roles in the regional economy than in the national economy.

The industries with the greatest LQ growth from 2015 through 2020 were Transportation and Warehousing, Educational Services, and Information. This indicates that these industries have witnessed comparatively high growth in the previous five years, establishing themselves as ’emerging industries’ in Barnstable County. The industries with the least LQ growth from 2015 through 2020 were Management of Companies and Enterprises, Construction, and Arts, Entertainment, and Recreation. This indicates that these industries have witnessed lower growth in the previous five years.