The UNT Impact Report was a collaboration between UNT, UNT's Economics Research Group and the city of Denton to assess the direct and indirect impact of UNT on Denton. Since its founding in 1890, UNT's progress has been inextricably linked with Denton's — beginning with The Syndicate, a group of businessmen who saw the importance and economic benefits of making Denton a center of learning. They donated 10 acres of land that became UNT's campus, and the city paid for the first building.
That shared vision made UNT and Denton what they are today. UNT is the intellectual, creative heartbeat of a city known for its independence and economic vitality. Today, UNT is one of the nation’s largest universities while Denton, now with a population of about 123,000, is one of the nation’s fastest growing cities. UNT and Denton have a shared history of originality, prosperity and impact, all of which will continue to define its futures.
What model did you use to make the calculations?
An input and output model from the IMPLAN Group LLC. The IMPLAN System (data and software) was used to make the calculations. The base IMPLAN data was 2014 and the model year selected was 2016. Calculations were made using the SAM multipliers.
What does direct, indirect and induced mean?
Direct effects are the result of the money initially spent in the Dallas-Fort Worth area by the university and its employees. This includes money spent to pay employee salaries, supplies and other operating expenses.
Indirect effects are the result of business‐to‐business transactions. When suppliers to the university pay their employees or purchase supplies they create the indirect effect.
When employees of the university and the employees of supporting industries spend their income, this causes the induced effect.
What year was the data?
The financial base data was the Annual Year 2015 financial statements for the University of North Texas System.
How did you calculate student spending?
To accurately gauge spending by students, two steps were taken. First, it was important to establish a baseline of spending activity. In 2014, the College Board estimated that in‐state students at public, four-year universities spent $14,271 annually outside of tuition and fees.
Using this figure as a baseline and adjusting for students who attended less than halftime, the differences between those who live on campus and off, and the percentages of spending in various categories such as retail, restaurants, health care, etc., a spending model for students was developed.
The second step was to consider the geographic origin of the students in order to ensure that the model only captures spending from outside of a specific region. Estimates of spending reflect only spending by students coming to UNT from outside the city of Denton, the 13‐county Dallas-Fort Worth area and the state.
By taking this precaution, the model does not capture spending by students who live in the specific regions and would have spent their money here even if they had not attended UNT. However, slight adjustments were made to the model in an attempt to capture the marginal increase in spending of students who would have left the study regions if they had not chosen to attend the University of North Texas.
How did you calculate visitor spending?
A model to estimate the economic impacts of visitor spending was developed by obtaining data supplied by university officials and estimates of visitor spending behavior supplied by established sources. Events were detailed by type (e.g., athletic, academic, outreach or community‐based) and number of attendees. Data concerning where event attendees lived and their spending patterns were not available so estimates were made based on the locational profile of students and a synthesis of estimated visitor spending offered by the Denton Convention and Visitors Bureau and university impact studies completed previously for the University of Oregon and Notre Dame (Appleseed, 2013; Duy, 2012).
Visitor spending behavior per person was estimated to be $50 per day for events that required no overnight stay; $80 per day for sporting events; and $150 per day for events that required an overnight stay. Spending was then separated into categories such as retail, restaurants, lodging, fuel; and other miscellaneous items. Like student spending, the majority of visitor spending came from within the North Texas region. Only spending generated from visitors outside of a specific region may be considered as adding to that region’s economy. It should be noted that unlike student spending, the economic impacts from visitor spending were higher for the city of Denton than the North Texas region due to a much higher level of direct spending taking place in the city.
Visitors to UNT in Denton, though predominantly from the North Texas region, were largely from outside the city of Denton and spent the majority of their money in the city during events as opposed to students who spread their money throughout Denton County.
What was your geographic region used in this study?
The 13 county Dallas-Fort Worth‐Arlington Metropolitan Statistical Area as defined by the U.S. Office of Management and Budget (OMB).
What is the difference between labor income and employee compensation?
Labor income is the sum of employee compensation and proprietors’ income. Employee compensation represents wages and salaries paid to employees and proprietors’ income is the income earned by the owner of company (proprietorship). Labor income is a broader measure of the return on labor.