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The Local Economic Impact Of A Large Research University: Evidence From Uc Merced

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  • Jongkwan Lee

Abstract

In this paper, I estimate the short‐run economic effects of the opening of The University of California, Merced in 2005 by comparing Merced with a counterfactual constructed by the synthetic control method. During the period 2005–2014, the opening of the campus has increased local employment by 13%, mainly in nontraded industries, such as the service sector. These findings suggest that a large research university could bring immediate benefits to the local economy because of its large demand from students and employees. (JEL J24, O18, R11)

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  • Jongkwan Lee, 2019. "The Local Economic Impact Of A Large Research University: Evidence From Uc Merced," Economic Inquiry, Western Economic Association International, vol. 57(1), pages 316-332, January.
    • Handle: RePEc:bla:ecinqu:v:57:y:2019:i:1:p:316-332
    DOI: 10.1111/ecin.12734
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    More about this item

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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