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        Government Sector Industry Profile

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        Excerpt from Government Sector Industry Profile

        Agencies in this sector administer government services at the federal, state, or municipal level. The largest US government agencies by employment include the federal Department of Agriculture, Department of Defense, Department of Homeland Security, Department of Justice, and Department of Veterans Affairs.

        Worldwide, there are some 195 nations with independent governmental administrations, as well as more than 70 dependent areas or territories. Government spending by all nations is about $25 trillion. The US government services sector consists of more than 90,000 state and local governments as well as about 450 federal government agencies, departments, and commissions. Combined spending by these entities is about $7.3 trillion; the federal government accounts for more than 60% of that total.

        US state-specific data can be found in First Research's profiles of all 50 states and Washington, DC. Profiles also are available for Canadian provinces.

        COMPETITIVE LANDSCAPE

        Demand for government services is driven by population growth and changing demographics of the US population. The US Census Bureau estimates that the 65-and-over population will climb by 60% between 2016 and 2035, which will increase the demand for federal programs like Social Security and Medicare. State and local governments experience similar demand drivers, but face increasing or decreasing revenues from which to fund services based on shifts in the population, as well as changes in economic conditions.

        Cities and states compete with one another to attract employers. States are awarded federal ...

         
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