Princeton University has a significant impact on the economy of New Jersey, earning an annual Generates a total economic output of $1.58 billion. Together, they support an estimated 13,450 jobs and have revenues of $970.7 million.
The economic and other benefits generated by the university within the town of Princeton and neighboring communities, Mercer County, and New Jersey are presented in a new report, “Education, Innovation, and Opportunity: The Economic Impact of Princeton University.” Conducted by economic consulting firm Appleseed, the study updates a 2008 analysis to show that the university’s direct and indirect contribution to local, regional, and state economic vitality in the fiscal year ended June 30, 2015. It shows the impact comprehensively. The research also identifies resources, services, and opportunities that the university contributes to improving the quality of life across neighboring communities and regions.
(Graphic by Phillip Unetic for Office of Communications)
“Princeton University is proud of its longstanding partnership with the community that surrounds it,” said University President Christopher L. Eisgruber. “Through initiatives encompassing on-campus learning opportunities, shared transportation and safety programs, community service projects, the arts, entrepreneurship, and many other areas, the university and its neighbors will share common values, interests, We continue a vibrant tradition of history-based cooperation.”
Consistently ranked as one of the largest and most stable employers in Central New Jersey, the university employs over 6,900 people (excluding student employees). 58% of these employees live in the Princeton area or other areas of Mercer County, and 80% live in New Jersey. Princeton paid approximately $602 million in employee salaries in fiscal 2015 and contributed an additional $24.8 million to New Jersey income and unemployment insurance taxes and family leave insurance payments.
The study also found that university investments in research and entrepreneurship drive innovation across the state. A leading research institution, Princeton attracts hundreds of millions of federal research dollars to New Jersey each year in pursuit of solutions to pressing societal challenges. Most of them are used locally. Research spending in fiscal 2015 reached $457.6 million, an increase of nearly 80% from 2007. Intra-university resources allocated to research increased significantly, accounting for 30% of the 2015 total.
Research collaborations with leading New Jersey companies such as Siemens and Bristol-Myers Squibb, as well as academic institutions such as Rutgers University and Robert Wood Johnson University Hospital, further extend the impact of Princeton’s research operations. Over the past five years, the university has expanded to include: through the launch of an intellectual property accelerator fund to facilitate proof-of-concept work for researchers, Keller’s eHub at his center as an entrepreneurial focus, and the Alumni Entrepreneurship Fund. It has strengthened the state’s innovation ecosystem. To support alumni startups.
Coleen Burrus, Director of Corporate Engagements and Foundations at Princeton University, said: relationship. “There are so many innovative companies here in New Jersey, and the university is eager to continue working with them to build research collaborations.”
Businesses across the region benefit greatly from the university’s spending on goods, services, and capital construction projects. In 2015, Princeton University spent her $453.6 million on goods and services to advance its teaching and research mission. Of that total, approximately $137.3 million went to vendors in New Jersey. This includes $35 million paid to businesses in the Princeton area and $16.5 million paid to other businesses in Mercer County. During the same period, capital construction and renovation projects amounted to $318.1 million in college spending, 43% of which went to contractors and vendors in New Jersey.
The campus serves as a destination for academic, athletic, and cultural events, and Princeton’s local economy sees a steady increase in visitor spending each year. An estimated 768,000 people visited his college in 2015, spending nearly $50 million and directly and indirectly accounting for her $63.4 million economic output. Local consumer spending was supplemented by an estimated $59.7 million spent by Princeton students in the community.
Universities make a direct financial contribution to the town or county in which they are located. In fiscal 2015, he paid over $16.3 million in property taxes, fees, and voluntary contributions to local governments. This includes her $2.86 million voluntary unrestricted contribution to the town of Princeton and $2.9 million worth of capital contributions under his seven-year agreement, which provides for annual increases through 2020. I was. The report notes that “Princeton University’s stable presence” contributes to the town’s Aaa bond rating, leading to a significant reduction in borrowing costs.
Universities improve quality of life through financial and voluntary support to communities and civic groups. maintaining local roads; volunteering, training, and funding public safety agencies; commitment to sustainability; provision of local affordable housing; In addition, community members of all ages enjoy the variety of educational, cultural and sports programs the university offers throughout the year, many of which are offered at low or no cost. For example, in 2014-2015, 1,165 people participated in college community auditing programs and took regular college courses without credit. Over half of the attendees were from the Princeton area.
Appleseed analysis shows Princeton University’s continued investment in research and innovation, renovation and construction of new facilities, and plans to expand student enrollment will make the university an even greater contributor to New Jersey’s economic strength in the coming years. I predict that it will lead to
A summary of the report and the full Appleseed analysis are available online.