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Conveying Public Value through Economic Modeling and Advocacy AASCU San Diego, December 1, 2011
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Increase community awareness Recruit students Demonstrate accountability Raise taxpayer support
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Colleges and universities use up public resources Colleges and universities are just like any other business Colleges and universities only provide education
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Add student productivity effect—cumulative human capital impact on gross regional product (included labor & non-labor income) Add investment analysis: student ROI Add investment analysis: taxpayer ROI Add social (external) impacts MOST FREQUENT FREQUENT LESS FREQUENT VERY INFREQUENTLY Quick multiplier analysis of college spending—College operations effect Add student and visitor spending impacts Add higher earnings by exiting students as they enter the workforce Studies often over- estimate impacts
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Most impact studies measure gross impacts We measure net impacts
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University operations Student spending Visitor spending Regional impact total is $934 million per year Student productivity effect (past students)
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(added income – tuition/fees – opportunity cost of time) (higher tax collections + avoided government costs) ROI 8.5% ROI 14%
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Colleges & universities put more into the Treasury than they take out Colleges and universities’impact goes beyond payroll University services go further than the education they provide
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