economic contribution of. investment analysis economic growth analysis study consists of…
TRANSCRIPT
Economic Contribution of
Salt Lake Community College
Investment analysisEconomic growth
analysis
Study consists of…
Investment Analysis
• Student perspective
• Social perspective
• Taxpayer perspective
• Benefits—present value of increased future income
• Costs—tuition and fees, books and supplies, and opportunity cost of time
INVESTMENT ANALYSIS: Student Perspective
$333.0
$1,816.3
Cost Benefit
benefit/cost ratio
INVESTMENT ANALYSIS: Student Perspective
SLCC student benefits and costs, $ millions
5.5
return on investment
INVESTMENT ANALYSIS: Student Perspective
15.4%
INVESTMENT ANALYSIS: Student Perspective
$21,000
$32,500
$44,000
$63,100
< HS HS Associate's Bachelor's
Average income in Salt Lake County at career midpoint
•Added income—higher earnings and increased property income
•Social savings—reduced medical costs, lower crime rates, and reduced income assistance
INVESTMENT ANALYSIS: Social Perspective
INVESTMENT ANALYSIS: Social Perspective
Added income, $153.7
Social savings,
$3.5
Annual benefits to Utah public due to SLCC, $ millions
•Benefits—added tax revenue and avoided costs to government
•Costs—state and local government funding
INVESTMENT ANALYSIS: Taxpayer Perspective
$69.9
$171.2
Cost Benefit
2.4benefit/cost
ratio
INVESTMENT ANALYSIS: Taxpayer Perspective
Benefits and costs to state and local taxpayers due to SLCC, $ millions
8.0%return on investment
INVESTMENT ANALYSIS: Taxpayer Perspective
Economic Growth Analysis
• College operations
• Student spending
• Student productivity
• Direct income of faculty and staff
• Multiplier effects due to employee and college spending
• Adjustment for alternative uses of funds
ECONOMIC GROWTH: College Operations Effect
$90.4 millionnet contribution to county income
ECONOMIC GROWTH: College Operations Effect
• Spending by students from outside the county
• Associated multiplier effects
ECONOMIC GROWTH: Student Spending Effect
$22.7 millionnet contribution to county income
ECONOMIC GROWTH: Student Spending Effect
•Higher income of former students who remain active in the county workforce
•Associated multiplier effects
ECONOMIC GROWTH: Student Productivity Effect
ECONOMIC GROWTH: Student Productivity Effect
net contribution to county income$840 million
So what does all this mean?
•Enriches the lives of students
• Increases students’ lifetime income
•Generates government revenue
•Reduces the demand for social services
•Contributes to the growth of the economy
Salt Lake Community College