MISSOURI INVENTIONINDEX | NOVEMBER 2025

November 2025: 1.11% (B grade)

Missouri inventionINDEX November 2025: 1.11% (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).

Missouri inventionINDEX Scores – Last 12 months

The November 2025 Missouri inventionINDEX score of 1.11% represents a modest uptick from the previous month, shifting the rating from a B- to a stable B. While this progress indicates a recovery from the slight dip observed in October, the current standing remains slightly below the five-year historical average of approximately 1.15%. This suggests that while the regional innovation landscape is currently resilient, it has yet to reclaim the high-performing momentum seen during the summer of 2025, when scores consistently reached the A+ threshold.

A broader examination of the last sixty months reveals a history of significant volatility, with the index peaking at 1.32% on three separate occasions and bottoming out at 0.99% in late 2022 and mid-2021. The current score of 1.11% positions the state comfortably in the middle of its historical range, avoiding the stagnation of the C-tier ratings seen in previous years while remaining short of the exceptional 1.25% to 1.30% range that characterized the most robust periods of growth. This middle-ground performance highlights a period of stabilization as the market adjusts to evolving economic conditions and intellectual property trends.

Higher grades in the inventionINDEX, such as the A and A+ ratings achieved earlier this year, correlate with several positive outcomes for the regional economy. Elevated scores typically reflect a surge in research and development activity, increased patent filings, and a more efficient pipeline for commercializing new ideas. These periods often attract greater venture capital investment and higher-quality talent to the state, as a high rating serves as a signal of a thriving, competitive innovation ecosystem. Furthermore, consistent A-range scores suggest that the infrastructure supporting entrepreneurs and inventors is functioning at peak capacity, fostering long-term economic stability and technological leadership.

Conversely, a sustained decline in the index or a slide into lower ratings like the C range carries negative implications for Missouri’s competitive edge. Lower scores often indicate a bottleneck in the innovation lifecycle, potentially caused by reduced funding, regulatory hurdles, or a lack of institutional support for new ventures. If the score remains suppressed, the state risks losing its most innovative contributors to more dynamic regions, leading to a “brain drain” and a corresponding decline in job creation within high-tech sectors. Maintaining a professional focus on reclaiming an A-tier rating is essential to ensuring the state does not fall behind its peers in the national innovation landscape.

Discussion:

In November, the Missouri inventionINDEX scored a positive sentiment which was lower than the previous year’s average and underperformed the upward trend for the year. This is in contrast 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 Missouri office provides R&D tax credit consulting and advisory services to Kansas City, St Louis, Springfield, Columbia, Independence, Lees Summit, Ofallon, St Joseph, St Charles, and Blue Springs.

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.