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Study notes MUSC's major economic impact A new economic impact study measures the increase in Tri-county economic activity attributable to MUSC's presence in the Lowcountry.  Major findings of the study conducted by Frank Hefner, Ph.D., an associate professor of economics at the College of Charleston and an economic consultant, are: For FY 2002, 29,362 jobs are attributable to the existence of the university, the Medical University Hospital Authority and the University Medical Associates (the faculty practice plan). The impact of MUSC spending in the economy for FY 2002 is $1.6 billion. This includes direct spending by the university and additional spending generated as the original dollars spent ripple through the economy. Construction spending is not included. MUSC’s economic impact exceeds that of the South Carolina Ports Authority. A recent study analyzing the port’s impact by the Center for Economic Forecasting at Charleston Southern University attributed 281,660 employee years of work statewide over the next 35 years to the port. Using a very conservative approach, the MUSC impact study found that MUSC will generate more than 290,000 employee years of work within the decade.  The economic impact study separately examines research and construction expenditures. While the impact of research expenditures is already imbedded in his study, Hefner emphasizes the importance of research dollars in that these dollars represent outside impacts on the local economy. He anticipates the rapid rise of research expenditures to reach $221.6 million by FY 2006. Construction expenditures are reported as a separate category in the economic impact study. These expenditures further increase the university’s economic impact on the Tri-county. Looking at construction expenditures at MUSC between 1998 and 2002, Hefner found that initial spending of $157 million rippled through the economy, bringing the total economic impact to $245 million. This generated income of $83 million and created 2,576 jobs. Planned expansion of the university will bring sustained positive economic growth through future construction expenditures. Hefner, in his study, emphasized that the standard tools of economic analysis do not capture some of the most important regional economic benefits resulting from the university.  One of the long-term benefits of education is the higher earning potential of graduates. Additionally, it has been shown that retirees are a valuable part of the economic development portfolio, and retirees are attracted to locations with superior medical facilities.   Catalyst Online is published weekly, updated as needed and improved from time to time by the MUSC Office of Public Relations for the faculty, employees and students of the Medical University of South Carolina. Catalyst Online editor, Kim Draughn, can be reached at 792-4107 or by email, catalyst@musc.edu. Editorial copy can be submitted to Catalyst Online and to The Catalyst in print by fax, 792-6723, or by email to petersnd@musc.edu or catalyst@musc.edu. To place an ad in The Catalyst hardcopy, call Community Press at 849-1778.