A recent independent economic analysis has found that Vanderbilt University had an $8.6 billion impact on the Tennessee state economy during fiscal year 2011-12.
Among the factors measured were Vanderbilt’s direct spending on operations and construction, spending by students and visitors, and spending by businesses as a result of Vanderbilt’s presence in the state.
The analysis, prepared by Austin, Texas-based TXP Inc., reported that Vanderbilt, the second largest private employer in Tennessee, generated an economic impact of $8.6 billion for the fiscal year ending June 30, 2012.
- The economic activity supported 58,000 total jobs with wages and benefits in excess of $3.4 billion.
- Vanderbilt spent $86.6 million on construction, building and leasehold improvements. These expenditures supported hundreds of jobs in the construction and building maintenance sector.
- University-related activity attracted 700,000 visitors to campus, including patients, parents and athletic enthusiasts, creating jobs and wages for businesses and vendors in the community.
- Tax revenue generated by Vanderbilt and related activities drove estimated Tennessee tax revenue of $221.6 million into state coffers.
The TXP report said that the impact potentially exceeds the calculations, since a university’s economic impact extends well beyond the traditional workplace due in part to factors not easily quantifiable such as “a highly capable workforce, innovation and entrepreneurship, clusters in knowledge industries, and superior quality of life.”