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The Long-term Impact of University Openings on Local Wages

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  • Clemens Fuest
  • Lea Immel
  • Joachim Ragnitz

Abstract

In this article, we investigate the long-term impact of university openings on local wages. Our study shows that establishing a new university has a positive long-term effect on wages in surrounding counties. The magnitude of this wage effect differs along the wage distribution as well as between different employee subgroups. Moreover, the effect is driven by establishing universities of applied sciences and by universities in urban regions.

Suggested Citation

  • Clemens Fuest & Lea Immel & Joachim Ragnitz, 2021. "The Long-term Impact of University Openings on Local Wages," ifo Dresden berichtet, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 28(04), pages 24-28, August.
    • Handle: RePEc:ces:ifodre:v:28:y:2021:i:04:p:24-28
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    References listed on IDEAS

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