Maine’s economy

From natural resources to a service economy

Maine’s economic history begins with the use of land, forests, stone, ice, and marine resources. It later broadened through agriculture and manufacturing before service industries became increasingly prominent.

Early extractive activity included commercial fishing, logging, slate and granite quarrying, other mining, and ice harvesting. Farming moved beyond subsistence to include apples, blueberries, potatoes, and poultry. Readers can continue into economic data for related reference material.

Local industry and changing technology

Ice was once harvested from ponds, streams, and rivers, then stored for later use. The industry declined as mechanical refrigeration and electric service became widespread. Its surviving tools and buildings now help explain a business that once linked winter weather with year-round commerce.

Small-scale industries formerly found in many communities included sawmills, barrel and stave mills, gristmills, tanneries, cheese factories, clothing shops, carriage and sleigh works, canneries, sash and door factories, starch factories, and flour or buckwheat mills.

Manufacturing, services, and trade

Larger-scale manufacturing developed around textiles, shoes, wood products, lumber, and paper. Over time, retail, tourism, professional services, government, education, health care, technology, and financial services became more central. These transitions did not affect every community or household equally; poverty, educational attainment, and fluctuations in unemployment remain important parts of the economic picture.

The development and control of electric power also shaped economic and political debate, especially where private control, public resources, and environmental quality met.

Traditional marine work—including fishing, lobstering, and shellfish harvesting—continues alongside aquaculture and changing markets. Agriculture likewise persists within a broader economy whose industries differ considerably by region.

Retail, tourism, and transportation

Retail activity shifted from predominantly local, family-operated businesses toward national chains, shopping centers, and convenience retailers. At the same time, tourism continued a long evolution shaped by changing modes of travel.

Many nineteenth-century inland visitors came for fishing and hunting and stayed at rustic sporting camps. As demand grew, resort hotels offered accommodations and activities such as golf, tennis, and boating. Rail connections and, later, improved roads made inland destinations easier to reach. Automobile travel after World War II further altered lodging, dining, and entertainment.

Shipbuilding began early in Maine’s colonial period and continued through commercial vessels, recreational craft, and warships. It remains an important industrial tradition even as many large vessels seen in Maine waters are built elsewhere.

Markets beyond Maine

International demand has long influenced the state—from early markets for fish, masts, and ships to later competition in textiles, footwear, paper, and other manufactured goods. Capital, labor costs, technology, resource demand, and global trade have repeatedly changed where products are made and how many workers an industry employs.

Communities, businesses, and public agencies have responded through development programs, partnerships, tax policy, and other support. Larger economic and financial pressures, however, continue to reshape business patterns and required skills.

Explore related records through More Economic Data, or read about Fly Rod Crosby for another perspective on Maine recreation and tourism.