The Economic Impact of Eight Research Universities on the Boston Region

Abstract

The greater Boston region’s eight research universities play a key role in the region’s economic health and welfare. They are magnets for research and development talent and for billions of dollars in investment. These institutions contribute $7.4 billion dollars to the regional economy, jobs for about 50,000 university employees and 37,000 workers in related areas. They produce an annual talent pool of 31,000 graduates many of whom elect to remain in the region and contribute to the exploitation of university patents and licensed technology that sustain the regional economy, as well as its social and cultural institutions. Drawing on economic impact studies conducted for eight institutions in the Boston region we will describe the impact of these universities on the Boston region. We will review the implications of this large concentration of research activity on the region’s economy, labour force, pre and post university educational structures, political leadership, funding sources and social and environmental quality. This paper will explore the issues facing these eight research institutions as they pursue their desire for sustained growth and development. Among these are changes in national research funding priorities, financial incentives for innovation, conflicts with non-university sectors of the economy including competition for housing, manpower and economic resources.