Impact on the State and Regional Business Community
In fiscal year 2012–2013, ECU spent $524.6 million on payroll and benefits for 7,301 full-time and parttime employees and another $270.7 million on goods and services to carry out daily operations and research.
This initial round of spending creates more spending across other businesses throughout the state and regional economies, resulting in what is commonly referred to as multiplier effects. This study estimates these multiplier effects and reports the additional economic activity that is created by the initial spending of ECU.*
Impacts are reported in terms of total income, similar to gross regional product, and the corresponding number of jobs created.
* Our estimated economic impacts are conservative in that we directly take into account the fact that state and local dollars spent on the university could have been spent elsewhere in North Carolina and thus would have created some economic impacts regardless.
We account for these alternative uses directly in our analysis by (i) assuming that if funds were not directed to ECU, they would have been returned to the taxpayer and generated economic impacts through household spending on goods and services and (ii) subtracting the estimated economic impacts generated by these alternative uses from the estimated economic impacts of ECU.
Thus, we report a net impact of ECU that is above and beyond what would have occurred had the funds been returned to the taxpayer.