Education and healthcare are major sectors in New York State’s economy. The Bureau of Economic Analysis estimates 20% of all jobs and 15% of total income statewide are generated by these two sectors.
CGR recently concluded our economic impact analysis of New York State’s independent colleges and universities sector, the eighth in an annual series. The sector’s 100+ private, not-for-profit higher education institutions are spread across the state, and collectively contribute approximately $88.8 billion to New York’s economy. Our study breaks this impact into three categories.
The first category is institutional impact, including spending on instruction, research, construction and salaries. In 2017, it totaled $64.5 billion.
The second category is student and visitor impact, capturing spending by students (e.g. at local stores and restaurants) and the many visitors attracted by colleges and universities (e.g. parents and conference / sporting event attendees). In 2017, the spending of these two groups totaled an estimated $4.8 billion across the state.
Lastly, our study examined the impact of academic medical centers, of which there are nine in New York State. We measure their impact by specialized patient revenue, and benefits from their residents and fellows. This impact totals $19.6 billion.
These schools’ spending spurs on other benefits, of course. Over 415,000 jobs and $2.2 billion in income and sales tax are generated by these schools’ economic activity each year. The independent college and university sector is but one segment of the “Eds and Meds” industry in New York State, but a significant and vital one at that.
|Top 10 NYS Independent School
(total impact in billions)
|New York University||$17.7|
|Weill Cornell Medical College||$8.3|
|Icahn School of Medicine at Mount Sinai||$4.9|
|University of Rochester||$4.1|
|New York Medical College||$1.6|
|Albany Medical College||$1.6|