MISSISSIPPI INVENTIONINDEX | OCTOBER 2025

October 2025: 1.10% (C+ grade)

Mississippi inventionINDEX October 2025: 1.10% (C+ 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).

Mississippi inventionINDEX Scores – Last 12 months

The Mississippi inventionINDEX for October 2025 stands at 1.10%, earning a C+ grade. This score indicates a positive sentiment, aligning with the definition that anything above a C grade is considered positive. Comparing this to the previous month, September 2025, which saw a higher score of 1.27% (B+ grade), October’s performance represents a slight decrease. However, it is an improvement over many months in the last year, such as August, July, and June 2025, all of which registered F grades with scores below 0.70%. This suggests a fluctuating but currently stable position above the negative sentiment threshold.

A higher inventionINDEX score, such as the 1.44% (A+ grade) achieved in November 2024 or the 1.60% (A+ grade) in October 2023 and May 2022, signifies robust innovation output. This positive sentiment suggests that the state’s economic growth is effectively supported by its patent production growth. Such strong performance can lead to increased investor confidence, attract new businesses, and foster a more dynamic and resilient economy. Over time, consistent high scores can indicate a healthy and forward-thinking economic environment, potentially leading to sustained recovery and growth, especially in the post-pandemic era.

Conversely, a lower inventionINDEX score, particularly those resulting in an F grade like the 0.68% seen in August 2025, July 2025, June 2023, and October 2020, carries negative implications. These scores indicate that innovation output is not keeping pace with GDP growth, signaling a negative outlook or sentiment for the economy. Such periods of lower scores could suggest challenges in research and development capabilities, a reduction in new patent applications, or broader economic headwinds. Prolonged periods of low scores might deter investment, hinder job creation, and slow down economic recovery, making the state more vulnerable to future economic incidents.

Observing the historical data, the Mississippi inventionINDEX has experienced both highs and lows over the past 60 months. While October 2025 shows a positive sentiment, the trend reveals periods of significant dips, particularly in the lower D and F grades. Understanding these fluctuations is crucial for predicting economic resilience. States with a tendency towards higher, more consistent scores are better positioned for economic recovery and sustained prosperity, as innovation is a key driver of long-term economic health. The current C+ grade, while positive, suggests there is still room for improvement to reach the higher B and A grades seen in previous periods.

Discussion:

In October, the Mississippi inventionINDEX scored a positive sentiment which was higher than the previous year’s average and outperformed the downward trend for the year. This is similar to the prior 12 months, which experienced a slight 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 Mississippi office provides R&D tax credit consulting and advisory services to Jackson, Gulfport, Southaven, Hattiesburg, Biloxi, Meridian, Tupelo, Greenville, Olive Branch,  and Horn Lake.

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.

Who We Are:

Swanson Reed is the largest Specialist R&D tax credit advisory firm in the United States. With offices nationwide, we are one of the only firms globally to exclusively provide R&D tax credit consulting services to our clients. We have been exclusively providing R&D tax credit claim preparation and audit compliance solutions for over 30 years. 

Swanson Reed hosts daily free webinars and provides free IRS CE and CPE credits for CPAs.  For more information please visit us at www.swansonreed.com/free-webinars or contact your usual Swanson Reed representative.