Economic Impact: Virginia receives a grant to create a Defense Department contract spending impact tool
Virginia’s dependence on defense contracts puts it in both an enviable and awkward position. It’s enviable because firms in the state received more revenue from defense contracts performed than any other state, except California, in the federal fiscal year that ended Sept. 30, 2017. It’s awkward because with 4.4 percent of Virginia’s gross domestic product dependent on defense contracts, the state’s economy can take a hit during defense downsizing — as it did in 2013. During that year, employment stalled in Virginia and grew only 0.7 percent, compared with 1.6 percent growth nationally.
- Richmond Times Dispatch Articles