Economic Impact

The economic impact of Boston University on the Commonwealth of Massachusetts totaled more than $3.8 billion for FY-2008 (the fiscal year ending June 30, 2008). As summarized in Table 4, this consists of direct spending by Boston University ($1.3 billion); Boston University students ($342.0 million); and the students’ out-of-state visitors ($41.9 million). It also includes the indirect spending ($2.1 billion) that is generated by the direct spending. The remainder of this section contains three additional tables (Tables 5, 6, and 7) that further define the levels of direct and indirect spending that are summarized below.

Table 4: Boston University
Summary of FY-2008 Economic Impact
City of Boston Boston Metropolitan Area Commonwealth of Massachusetts
DIRECT BOSTON UNIVERSITY SPENDING
Salaries and Benefits $200,588,512 $828,286,158 $862,950,396
Purchased Goods and Services $285,826,940 $446,723,050 $476,947,460
TOTAL SALARIES, BENEFITS, AND PURCHASES $486,415,452 $1,275,009,208 $1,339,897,856
DIRECT STUDENT AND VISITOR SPENDING
Student Spending
Essential Living Expenses $181,101,645 $282,101,525 $287,693,018
Non-Essential Purchases $38,250,272 $54,311,047 $54,311,047
$219,351,917 $336,412,572 $342,004,065
Out-of-State Visitor Spending $29,524,905 $41,882,020 $41,882,020
TOTAL STUDENT AND VISITOR SPENDING $248,876,822 $378,294,592 $383,886,085
TOTAL DIRECT SPENDING $735,292,274 $1,653,303,800 $1,723,783,941
Indirect Spending Created by the Direct Spending of the University, Its Students, and Their Out-of-State Visitors $428,673,017 $1,823,423,719 $2,129,867,653
TOTAL ECONOMIC IMPACT $1.16 B $3.48 B $3.85 B