Monroe Community College Program Based Economic Impact Analysis, January 2015

Introduction This report describes the economic impact attrib- utable to different educational programs offered by Monroe Community College (MCC). “Economic impact” describes the full range of economic effects that can be directly attributed to each of the aca- demic programs in terms of the increased wages for completers, the increased productivity for employers, and the increased earnings for other workers who either get jobs or are enabled to be more productive due to the contributions of MCC’s completers to the local economy. The twelve academic programs analyzed in this report include Office Technology; Computer Infor- mation Systems; Information Technology; Health Information Technology/Medical Records; Construc- tion Technology; Applied Integrated Technology/ Mechatronics; Mechanical Engineering Technology; Precision Machining & Tooling; Optical Systems Technology; Heating, Ventilation, and Air Condi- tioning (HVAC); Electrical Engineering Technology; and Automotive Technology. The geographic area used to determine these eco- nomic impacts comprises the following nine counties in New York State: Monroe, Ontario, Yates, Genesee, Livingston, Wayne, Orleans, Wyoming and Seneca. DESCRIPTION OF PROGRAM METRICS Each program summary contains a consistent set of tables and charts that are described here. The appen- dix contains further data regarding methodology and occupations associated with each academic program. The first table in each program summary displays

FIGURE 1: Map of Service Area

the total economic impact attributable to completers of the academic program. This total impact includes the initial impact, or alumni’s increased earnings due to their education at MCC, and the multiplier effects. Multiplier effects refer to the additional income created in the economy as MCC alumni and their employers spend money within the region. They are categorized according to the following four effects: the initial effect, the direct effect, the indirect effect, and the induced effect. Initial effects refer to wages paid to MCC alumni by employers. Direct effects occur as employers purchase goods and services from other local companies. Indirect effects occur as this second- ary round of businesses purchase more goods and services from local companies. And finally, induced effects occur as these purchases create additional income for employees of all local businesses. The figures in the first table are all based on the economic impact for 2014. The impact will generally increase with time for two reasons. First, as more students enter the labor force, the program’s total economic impact will increase. Secondly, even if no additional completers entered the workforce, the eco-

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