LOUISIANA INVENTIONINDEX | OCTOBER 2025
October 2025: 1.34% (B grade)
Louisiana inventionINDEX October 2025: 1.34% (B grade)
The inventionINDEX measures innovation output by comparing GDP growth with patent production growth.
Anything over C grade is positive sentiment; anything under C is negative outlook/sentiment. Using that sentiment, it is possible to observe trends over time, and also compare states/countries. In doing so, we can predict which states have the best chance to recover economically from the pandemic (or any other economic incident that may occur).
Louisiana inventionINDEX Scores – Last 12 months
| Month | inventionINDEX Score |
| October 2025 | 1.34% |
| Sep 25 | 1.29% |
| Aug 25 | 1.29% |
| Jul 25 | 1.24% |
| Jun 25 | 1.45% |
| May 25 | 1.03% |
| Apr 25 | 1.29% |
| Mar 25 | 1.24% |
| Feb 25 | 1.34% |
| Jan 25 | 1.13% |
| Dec 24 | 1.13% |
| Nov 24 | 1.40% |
| Oct 24 | 2.40% |
The Louisiana inventionINDEX in October 2025, with a score of 1.34% and a B grade, indicates a positive sentiment for innovation output in the state. This score is consistent with the general upward trend observed in the preceding months of 2025, where scores largely remained above the C grade threshold, signifying a healthy environment for economic recovery and growth. Comparing this to previous periods, the current performance suggests a sustained, albeit moderate, level of innovative activity.
A higher inventionINDEX score and a positive grade, such as the current B, are indicative of a robust innovation ecosystem. This typically translates to increased patent production relative to GDP growth, fostering economic resilience and potential for future development. States with consistently higher grades are better positioned to attract investment, stimulate job creation, and navigate economic fluctuations more effectively, as innovation often drives productivity and competitiveness.
Conversely, a lower inventionINDEX score, particularly those falling below a C grade, signals a less favorable outlook. Historically, scores in the C- or D+ range, as seen in September and August 2024, suggest a decline in innovation output. Such periods can imply challenges in economic recovery, reduced research and development activities, and a potential slowdown in the creation of new intellectual property, which can hinder long-term economic prosperity.
Observing the historical data, the Louisiana inventionINDEX has experienced fluctuations, with notable highs like October 2023 (3.45%, A+) and lows such as August 2024 (0.82%, D+). The current B grade in October 2025, while positive, is not as high as some peak performances in previous years. This suggests a stable but not exceptionally rapid pace of innovation compared to its historical best. Continuous monitoring of these trends is crucial for understanding the state’s economic trajectory and identifying areas for potential policy intervention to further stimulate innovation.
Discussion:
In October, the Louisiana inventionINDEX scored a positive sentiment which was higher than the previous year’s average and outperformed the upward trend for the year. This is in contrast to the prior 12 months, which experienced a downward trend.
As the economy continues to stabilize in the post-pandemic era, it remains uncertain whether any backlog of applications still exists or if the department has returned to normal processing timelines. The inventionINDEX could also be affected by lingering consequences from the pandemic, such as company closures, reduced workforces, and limited R&D capabilities, which may still be impacting current operations.
Learn More:
Are you thinking of patenting any of your bright ideas? Did you know your research work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? To find out more, please check out our free online eligibility test.
Swanson Reed’s Louisiana office provides R&D tax credit consulting and advisory services to New Orleans, Baton Rouge, Shreveport, Lafayette, Lake Charles, Kenner, Bossier City, Monroe, Alexandria and Houma.
Feel free to book a quick teleconference with one of R&D tax specialists if you would like to learn more about R&D tax credit opportunities.
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What is the R&D Tax Credit?
The Research & Experimentation Tax Credit (or R&D Tax Credit), is a general business tax credit under Internal Revenue Code section 41 for companies that incur research and development (R&D) costs in the United States. The credits are a tax incentive for performing qualified research in the United States, resulting in a credit to a tax return. For the first three years of R&D claims, 6% of the total qualified research expenses (QRE) form the gross credit. In the 4th year of claims and beyond, a base amount is calculated, and an adjusted expense line is multiplied times 14%. Click here to learn more.
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