Page 4 - Kentucky State Univerity - Economic Impact, 2019

Executive Summary: Demand-Side
Demand-Side Economic Impact Analysis
Key Findings: Demand-Side
The demand-side analysis estimates the effect of spending by Kentucky State University on the select 16 counties (Bluegrass Higher Education Region) in the state of Kentucky. The effect represents both the initial spending by KSU (typically referred to as the direct effect) and the additional economic activity in other areas of the economy triggered by this initial spending (indirect and induced effects).
The overall estimated annual demand-side economic impact of Kentucky State is about $99.8 million. 1 The impact of KSU reflects an input-output multiplier of 1.83. In other words, for every dollar of spending by KSU and its students in the Bluegrass Region, there is an additional impact of 83 cents on the local economy or a total impact of $1.83. This spending generated roughly $37.4 million in labor income and supported 890 jobs.
Kentucky State’s compensation to its employees creates an average impact of $95,938 per employee.
The broader impact of all spending by Kentucky State and its students, not just expenditures funded by out-of-area sources, is higher at $130.7 million. All Kentucky State’s spending also generated $47,114,519 in labor income, supporting the equivalent of 1,037 jobs.
1 Note that dollar values are reported in 2016 dollars.
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Total Estimated Demand-Side Economic Impact:
$99.8M
Labor Income:
$37.4M
Employment Impact:
890 Jobs
Economic Impact Per Employee:
$95.9K
KENTUCKY STATE UNIVERSITY