A report released Thursday shows Indiana University and IU Health bring in more than half a billion dollars in tax revenue to the state and contribute $11.5 billion to the state’s economy each year.
IU commissioned the national economic research firm Tripp Umbach to conduct the study. It points out that the university’s research spurs economic growth, and by providing high-quality education, IU is also helping create jobs.
Over the past two decades, the amount of IU’s budget coming from state funds has been cut from 50 percent to 18 percent for the 2011 to 2012 academic year.
The state has threatened to cut public funding to universities even further because of the tuition increases that many legislators say are unnecessary and unfair to students. As a result, public universities have taken extra measures to appease lawmakers such as creating scholarships for students who maintain high grade-point averages and offering employees early retirement.
The report shows that for every dollar invested in the university, nearly $25 is added to Indiana’s economy.