While the primary purpose of most higher education institutions is to educate students, modern colleges and universities do more than just serve their students: they serve their communities, too. Modern institutions act as local, regional and even statewide economic drivers. They employ hundreds or even thousands of people in diverse fields like finance and administration, information technology, housing and food service and more.
To better understand the economic impact ICUT's private, nonprofit member institutions have across Texas, we commissioned a study led by an outside research expert in early 2018. The results of that study for our sector are presented above.
In 2016 (the most current data available), the independent colleges and universities of Texas produced a total economic impact of $10.46 billion across the state. This impact is a sum of two categories: direct and induced spending. Direct spending by ICUT member institutions - which includes money spent by schools on employees, capital projects and university purchases, as well as student and visitor spending - totaled $5.67 billion in 2016. Induced spending - defined as employment and expenditures produced by local industries as a result of the direct spending described above - totaled $4.79 billion in 2016. Clearly, Texas' independent colleges and universities not only contribute positively to the state's higher education landscape - they are also strong drivers of economic prosperity in their localities, with effects that can be measured statewide.
For more about ICUT's economic impact, explore the following links:
About the Study
This study was conducted by Dr. Mark Paul Gius, professor of economics at Quinnipiac University in Connecticut. Dr. Gius utilized data from the U.S. Department of Education's IPEDS database as well as survey responses from ICUT member institutions.