The University of Delaware has released a new report detailing the institution’s economic impact on the state and the region.
The economic impact assessment commissioned by the University of Delaware and prepared by Econsult Solutions of Philadelphia found UD contributes $2.8 billion a year in economic impact to the First State.
UD President Dennis Assanis says the state invests roughly $120 million into the University per year.
“This study indicates that for every one dollar invested by the state, the University of Delaware generates $23 of economic impact in Delaware,” he said.
The report argues the University makes its economic impact as an employer and purchaser of goods and services, by initiating long-term capital investments on its campuses, by attracting students and visitors who spend money in the region and by contributing skilled graduates to the local economy.
The report says UD also contributes an estimated $86 million in tax revenue for the state of Delaware through its direct, indirect and induced impacts.
Assanis says the report will be useful to the University in justifying to the state future investment and assistance.
Gina Lavery of Econsult Solutions says the firm was initially skeptical of the University’s impact on the Northeast corridor— but the outcome of the analysis surprised her.
“The number of alumni that then live in those places and send their donations back to the University and come back for alumni weekend and homecoming, that was truly a larger impact than we would have expected,” said Lavery.
According to the report, the University creates $4.7 billion in direct, indirect and induced economic output in the Northeast Corridor—which includes Delaware, Southeastern Pennsylvania, New Jersey, Washington D.C., and select counties in Maryland, New York, and Virginia. That includes the $2.8 billion of impact in the First State.
The report claims that the University supports nearly 25,000 jobs in the state— over 90 percent of which are in New Castle County. UD contributes $1 billion in economic impact to the City of Newark through its operations alone, according to the report.
UD is the largest university in Delaware, and a state-assisted, privately governed institution.
