1. Analysis of the
Economic Impact and
Return on Investment of Education

2. What is an economic impact analysis?
Measures how an event or institution affects the local economy.
What is an investment analysis?
A comparison of the costs and benefits to determine the return on investment.

3. Average earnings by education level at career midpoint
Total gross regional product (GRP)
Total jobs

4. Operations Spending Impact
Construction Spending Impact
College payroll and other spending + ripple effects
College construction expenditures + ripple effects
added regional income
added regional income or or
Jobs supported in the region
Job supported in the region
All results measured in income, not sales.
Results are net of counterfactual scenarios.

5. Student Spending Impact Alumni Impact
Relocated/Retained student spending + ripple effects
Alumni Impact
Higher alumni earnings and increased business profit + ripple effects
added regional income
added regional income or or
Jobs supported in the region
Jobs supported in the region
All results measured in income, not sales.
Results are net of counterfactual scenarios.

6. N/A Taxpayer Perspective Student Perspective Social Perspective
Benefit: Future tax revenue, government savings
Benefit/Cost ratio
Rate of return
Cost: State and local funding
Student Perspective
Social Perspective
Benefit: Future earnings, tax revenue, private savings
Benefit/Cost ratio
Rate of return
N/A
Cost: Student and all college costs
Benefit: Higher future earnings
Cost: Tuition, supplies, opportunity cost
Benefit/Cost ratio
Rate of return
Future benefits are discounted to the present.

7. SECONDARY EDUCATION IMPACT

8. OVERVIEW OF RESULTS total income Added in the REGION
Total Jobs supported in the REGION
Rate of return to students
Rate of return to taxpayers
of REGION’s GRP

9. Next Steps How can YOU help?
Read about and understand the positive economic impact our college has in the region.
Share facts about our college’s impact to industry with our local business partners.
Talk with your neighbors, taxpayers and others about Southwestern’s return on investment for our students and communities.

10. The results of this study were prepared by
For a copy of the report, please contact the College.