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The Economic Impact of the Oregon Alliance of Independent Colleges & Universities, 2018–2019

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The Economic Impact of the Oregon Alliance of Independent Colleges & Universities, 2018–2019 THE ECONOMIC IMPACT OF THE OREGON ALLIANCE OF INDEPENDENT COLLEGES & UNIVERSITIES, 2018–2019 HIS REPORT presents an analysis of the significantly affect state and regional economies. economic impact of the member institutions Given their considerable student and employee of the Oregon Alliance of Independent populations, private nonprofit colleges have TColleges & Universities (Alliance) for the 2018-19 significant positive and beneficial effects on the year. The Alliance, founded in 1950 represents economy of Oregon. fifteen accredited private, nonprofit, colleges and The total economic impact of a college or university universities in Oregon. can be measured in terms of the direct and induced Alliance member institutions are bound by a economic impact of an institution’s activity on the commitment to quality instruction and are local economy. Direct spending is defined as the Report Prepared dedicated to collaborative efforts that strengthen the amount of money spent directly by the college or 2021 private nonprofit higher education sector in Oregon. university, college and university employees, students, and visitors. The induced economic impact Alliance member institutions that are included in is the additional employment and expenditures of Mark Gius, Ph.D. the present study are as follows: Bushnell University, Professor of Economics local industries that result because of direct Corban University, George Fox University, Lewis & Quinnipiac University spending. The induced spending represents the total Hamden, CT 06518 Clark College, Linfield University, Multnomah of the multiplier effect that results when money is 203-582-8576 University, National University of Natural Medicine, imported into a regional economy. Because of this [email protected] Pacific Northwest College of Art, Pacific University, imported money (direct spending), local businesses University of Portland, University of Western States, must hire additional workers who will then Warner Pacific University, Western Seminary, purchase more goods and services. These additional Willamette University. purchases of goods and services induce even greater In total, these institutions enrolled over 25,000 increases in employment and additional increases in students statewide, including approximately 13% of the local purchases of goods and services. The sum all undergraduate students and approximately 20% of these rounds or cycles of spending equals induced of all graduate students at 4-year and above spending. The total economic impact is the sum of institutions. They awarded approximately 30% of all the direct and induced spending. baccalaureate degrees and higher, including The results suggest that the member institutions of approximately 22% of all baccalaureate degrees the Alliance have very significant and positive earned and approximately 47% of the advanced effects on both the state and local economies. degrees. Hence, private nonprofit colleges and Private nonprofit colleges and universities are an universities are an important and integral part of important and integral part of the state economy, higher education in the state of Oregon and and public policies that impact the ability of these contribute significantly to Oregon’s human capital colleges and universities to attract and retain quality by awarding a significant percentage of the state’s students, faculty, and staff would have significant high-demand undergraduate and graduate degrees. impacts on the overall economic health of the state In addition to improving the quality of higher of Oregon. education in Oregon, Alliance member institutions oaicu.org ECONOMIC IMPACT 2018–2019: $1,581,595,996 DIRECT SPENDING $1,038,669,001 Executive Summary MEMBER INSTITUTIONS The total economic impact of the Oregon Alliance of Independent Colleges and Universities (Alliance) for the year 2018-2019 was $1.58 billion with 13,637 jobs created. In addition, the earnings of Alliance alumni contributed over $1.2 billion to the economy of Oregon, and the existence of Alliance Direct Spending Direct Spending Direct Spending institutions resulted in a cost savings of over $207 million to the state of Oregon in 2019. by Employees by Students by Visitors $480,885,161 $288,831,476 $15,091,893 Jobs Created 13,637 Institutional Capital Purchases Spending $195,311,415 $58,549,057 Alumni Spending $1,236,763,904 INDUCED SPENDING $542,926,995 Cost Savings to State $207,863,880 TOTAL DIRECT SPENDING ECONOMIC $22,923,562 IMPACT 2018–2019: $38,392,382 Jobs Created Direct Spending Direct Spending Direct Spending 452 by Employees by Students by Visitors $8,926,839 $8,149,115 $1,041,231 Alumni Spending $53,143,884 University Capital Cost Savings to State Purchases Spending $6,443,220 $3,831,036 $975,341 INDUCED SPENDING $15,468,820 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $29,109,273 IMPACT 2018–2019: $41,579,686 Jobs Created Direct Spending Direct Spending Direct Spending 418 by Employees by Students by Visitors $12,139,742 $9,473,389 $399,873 Alumni Spending $43,225,238 University Capital Cost Savings to State Purchases Spending $9,172,584 $6,685,837 $410,432 INDUCED SPENDING $12,470,413 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $145,623,960 IMPACT 2018–2019: $194,975,919 Jobs Created Direct Spending Direct Spending Direct Spending 1,783 by Employees by Students by Visitors $57,048,642 $47,995,899 $4,506,788 Alumni Spending $140,905,199 University Capital Cost Savings to State Purchases Spending $32,520,552 $21,196,506 $14,876,125 INDUCED SPENDING $49,351,960 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $148,315,979 IMPACT 2018–2019: $244,261,586 Jobs Created Direct Spending Direct Spending Direct Spending 1,948 by Employees by Students by Visitors $72,555,093 $36,932,355 $1,254,614 Alumni Spending $232,906,445 College Capital Cost Savings to State Purchases Spending $25,796,892 $31,005,002 $6,568,916 INDUCED SPENDING $95,945,607 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $73,355,689 IMPACT 2018–2019: $98,215,932 Jobs Created Direct Spending Direct Spending Direct Spending 898 by Employees by Students by Visitors $43,468,451 $11,968,363 $1,502,129 Alumni Spending $121,366,168 University Capital Cost Savings to State Purchases Spending $15,919,956 $14,540,829 $1,875,917 INDUCED SPENDING $24,860,243 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $21,191,960 IMPACT 2018–2019: $34,901,039 Jobs Created Direct Spending Direct Spending Direct Spending 278 by Employees by Students by Visitors $9,506,000 $8,129,608 $43,235 Alumni Spending $38,724,556 University Capital Cost Savings to State Purchases Spending $5,082,540 $3,239,000 $274,118 INDUCED SPENDING $13,709,079 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $28,129,846 IMPACT 2018–2019: $46,327,044 Jobs Created Direct Spending Direct Spending Direct Spending 369 by Employees by Students by Visitors $14,504,400 $9,703,015 $72,410 Alumni Spending $22,011,981 University Capital Cost Savings to State Purchases Spending $4,162,080 $3,386,353 $463,668 INDUCED SPENDING $18,197,198 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $22,165,548 IMPACT 2018–2019: $36,504,441 Jobs Created Direct Spending Direct Spending Direct Spending 291 by Employees by Students by Visitors $10,150,853 $6,787,312 $356,000 Alumni Spending $26,618,574 College Capital Cost Savings to State Purchases Spending $5,202,600 $4,782,391 $88,992 INDUCED SPENDING $14,338,893 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. DIRECT SPENDING TOTAL $168,697,247 ECONOMIC IMPACT 2018–2019: $245,218,318 Jobs Created Direct Spending Direct Spending Direct Spending 2,087 by Employees by Students by Visitors $83,102,356 $50,290,669 $3,220,512 Alumni Spending $166,742,355 University Capital Cost Savings to State Purchases Spending $30,671,328 $27,307,249 $4,776,461 INDUCED SPENDING $76,521,071 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn. TOTAL DIRECT SPENDING ECONOMIC $182,453,186 IMPACT 2018–2019: $300,482,152 Jobs Created Direct Spending Direct Spending Direct Spending 2,397 by Employees by Students by Visitors $77,324,000 $34,820,379 $1,060,807 Alumni Spending $191,276,940 University Capital Cost Savings to State Purchases Spending $34,049,016 $46,049,000 $23,199,000 INDUCED SPENDING $118,028,966 Source: The Economic Impact of the Oregon Alliance of Independent Colleges and Universities , 2018–2019. Prepared in 2021 by Mark Gius, Ph.D., Professor of Economics, Quinnipiac University, Hamden, Conn.
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