Abstract
The migration-inducing effect of an institution of higher education is often overlooked in university impact studies. This paper deals with estimating the local economic impacts of a university accounting for the fact that students and staff induced to the area by the presence of the university are unlikely to remain in its absence. It is argued that this is an important aspect of the correct identification of the counterfactual position and a vital component in accurate impact analysis. A case study is presented relating to the short-term impacts of the Northwestern University campus in the city of Evanston, Illinois. The tendency to overstate this impact through the incorrect treatment of induced migration is illustrated. It is also shown that the estimated income and output impacts attributed to the university are very sensitive to changes in the local consumption patterns of migrants.
Article PDF
Similar content being viewed by others
Avoid common mistakes on your manuscript.
References
Armstrong, H. W. (1993). The local income and employment impact of Lancaster University.Urban Studies 30(10): 1653–1668.
Beck, R., Curry, P., Elliot, D., Levin, Meisel J., Vinson, R. and Wagner, M. (1993).The Economic Impact of Southern Illinois University. Revised Internal Report, Department of Economics, Southern Illinois University, Edwardsville, IL.
Beeson, P., and Montgomery E., (1990).The Effects of Colleges and Universities on Local Labor Markets. NBER Working Paper No. 3280, Cambridge MA.
Blecaney, M. F., Binks, M. R., Greenaway, D., Reed, G. V., and Whynes, D. K., (1992). What does a university add to its local economy?Applied Economics 24(3): 305–311.
BLS (1991).Consumer Expenditure Survey 1988–1989. Bureau of Labor Statistics, Bulletin 2383. Washington, DC: U.S. Department of Labor.
Brownrigg, M. (1973). The economic impact of a new university.Scottish Journal of Political Economy 20(2): 123–139.
Bureau of the Census (1990).Census of Population and Housing Summary Tape File 3A. Washington, DC: U.S. Bureau of the Census.
Caffrey, B., and Isaacs, P. (1971).Estimating the Impact of a College or University on the Local Economy. Washington DC: American Council on Education.
Dorsett, R. A., and Weiler, W. C. (1982). The impact of an institutions's federal research grants on the economy of its state.Journal of Higher Education 53(4): 419–428.
Elliot, D. S., Levin, S. L., and Meisel, J. B. (1988). Measuring the economic impact of institutions of higher education.Research in Higher Education 28(1): 17–33.
Elliot, D. S., and Meisel, J. B. (1987).The Economic Impact Study of Southern Illinois University at Edwardsville on the St. Louis Metropolitan Area, 1986. Department of Economics, Southern Illinois University at Edwardsville.
Florax, R., and Folmer, H. (1992). Knowledge impacts of universities on industry: An aggregate simultaneous investment model.Journal of Regional Science 32(4): 437–466.
Hamilton, J. R., Whittlesley, N. K., Robison, H. M., and Ellis, J. (1991). Economic impacts, value added and benefits in regional project analysis.American Journal of Agricultural Economics 73(2): 334–344.
Hudson, B. M. (1974). Regional economic effects of higher education institutions.Socio-Economic Planning Sciences 8(4): 181–194.
Kott, J. (1987–1988). Regional economic impact of institutions of higher education.Planning for Higher Education 16(4): 19–32.
Leppel, K. (1993). Logit estimation of a gravity model of the college enrollment decision.Research in Higher Education 34(3): 387–398.
Lewis, J. A. (1988). Assessing the effect of the polytechnic, Wolverhampton on the local community.Urban Studies 25(1): 53–61.
Lowe, J. C., and Viterito, A. (1989). Differential spatial structuring of private colleges and universities in the United States.Economic Geography 65(3): 208–215.
Mohr, L. B. (1992).Impact Analysis for Program Evaluation. Newbury Park, CA: Sage.
Moore, G. A. (1979). Local income generation and regional income redistribution in a system of public higher education.Journal of Higher Education 50(3): 334–348.
Rosen, M. I., Strang, W. A., and Kramer, J. (1985).The University of Wisconsin-Madison and the Local and State Economies: A Second Look, Monograph No. 20. Graduate School of Business, University of Wisconsin, Madison.
Rossi, P., and Freeman, H. E. (1992).Evaluation: A Systematic Approach. Newbury Park, CA: Sage.
Steinnes, D. M. (1987). On understanding and evaluating the university's evolving economic development policy.Economic Development Quarterly 1(3): 214–225.
Yale University (1990).Economic Impact Study of Yale University and the City of New Haven. Office of the Secretary, Yale University, New Haven, CT.
Zelder, R. E., and Sichel, W. (1992).The Impact of Western Michigan University on the Kalamazoo County Economy. Department of Economics, Western Michigan University.
Author information
Authors and Affiliations
Rights and permissions
About this article
Cite this article
Felsenstein, D. Dealing with “induced migration” in university impact studies. Res High Educ 36, 457–472 (1995). https://doi.org/10.1007/BF02207906
Issue Date:
DOI: https://doi.org/10.1007/BF02207906