University is largest contributor to state economy
University Park, Pa. -- An economic impact study released Nov. 30, 2004, positions Penn State as the single largest contributor to the state's economy -- an engine of 24 campuses generating $6.14 billion annually in direct net economic impact to the commonwealth. The University also influences an additional $6.9 billion indirectly each year through business services, research commercialization and the activities of alumni -- for a total of more than $13 billion in annual economic impact in Pennsylvania. Based on the study's findings, Penn State is driving approximately 2 percent of the state's overall business volume -- or $1 out of every $50 in the Pennsylvania economy.
Looking forward, the University's direct impact is projected to increase from $6.14 billion in 2003 to $7.4 billion in 2008 based on expected growth in operations and investment in capital expenditures.
"Penn State's annual economic impact of more than $6 billion represents the single largest institutional economic impact that Tripp Umbach has calculated after more than 15 years and hundreds of studies," said Paul Umbach, president of Tripp Umbach. "While it is typical that an organization's economic impact on its home state is roughly equivalent to its annual operating budget, Penn State's impact is nearly three times larger, due in part to more than a half a billion in tourism generation and more than a billion in economic impact associated with out of state dollars attracted for research activities.
"Tripp Umbach believes that Penn State has more economic impact on the commonwealth of Pennsylvania than any other individual organization operating within the state," he added.
For the full story, visit http://live.psu.edu/story/9128 online. To view the executive report, visit http://imagearchive.psu.edu/displayimage.php?album=1484&pos=12 online.