In 2006-07, UC Riverside had a combined economic impact in the state of California of over $1.1 billion. This includes the direct, indirect and induced impacts of spending by the campus itself on payroll, goods and services, and construction, as well as the spending of UCR students, retirees and visitors to the campus.
UCR's Revenue
UCR is a significant economic force in the Inland Empire by virtue of its position as a major employer and a major purchaser of goods and services. The impact of the University on the local economy can be measured to some degree by the amount of revenue it collects from outside the region. The more revenue UC Riverside collects from outside the Inland Empire region, the greater the net contribution to the local economy. Similarly, the more revenue UCR collects from outside the state, the greater the net contribution to the California economy.
UCR Spending - Direct
In 2006-07, UCR spent over $582 million on payroll, goods and services, and construction, all of which are considered direct spending by the University throughout the nation. Approximately $332 million, or 57%, of this total was spent in the Inland Empire.
Since approximately $51.7 million of UCR's revenue came from local sources, UCR made a net contribution of approximately $280.5 million to the local economy.
Put another way, UCR spent nearly $6.50 in the Inland Empire for every dollar in revenue received from the region.
Combined Spending Impacts
The total economic impact of UCR includes the direct, indirect, and induced economic impacts of University purchases of goods and services, payroll expenditures, and spending on construction projects, as well as the direct, indirect, and induced economic impacts of UCR student, visitor and retiree spending.
In 2006-07, direct spending by UCR on goods and services purchases, payroll, and construction projects in the state of California alone totaled $404.4 million, (this does not include approximately $35.4 million paid in student wages, which is counted in the impact of students).
This direct spending led to an estimated $420.2 million in indirect and induced spending throughout the state, for an estimated $824.6 million in total spending impact by UCR.
In addition to the impact of UCR as an institution, the presence of the University anchors students, visitors, and UCR retirees to the local area; their presence in turn also supports the local, regional, and state economies.
In all, UCR students, visitors, and retirees had a total economic impact in California of $298.6 million in total spending.
The combined impacts of the University, its students, campus visitors and retirees totaled $1.1 billion.
Since the state provided UCR with nearly $165 million in funding, this represents more than a six-fold return on California's investment in UCR!
Jobs Created by Spending
Spending by UCR, its students, visitors and retirees created more than 13,000 full-time jobs statewide. This includes faculty, staff and students directly employed by UCR, but also those indirect jobs supported by the University’s spending as well as spending by students, retirees and visitors. More than half of the full-time equivalent jobs created by UCR were in the City of Riverside.
Personal Income Generated by Spending
Spending by UCR, its students, visitors and retirees generated total personal income of approximately $558.7 million in the state of California in 2006-07. This total includes direct UCR payroll, as well as indirect and induced personal income.
The indirect and induced personal income impacts are generated by the spending associated with UCR payroll, goods and services purchases and capital expenditures, as well as spending by students, visitors and retirees.
