The University of Pittsburgh is an integral piece of the state’s economic success, and Pitt operations directly or indirectly impact nearly every resident of Pennsylvania. In FY ’21, Pitt generated more than $5.2 billion in economic impact for the state. The University of Pittsburgh affects business volume in Pennsylvania in two ways:
1. Direct expenditures for goods and services by Pitt and its staff, faculty, students and visitors. This spending supports local businesses, which in turn employ individuals to sell the goods and provide the services that university constituencies need.
2. Indirect or induced spending within the commonwealth. The businesses and individuals that receive direct payments re-spend this money within the state, thus creating the need for even more jobs.
As a result of expenditures on goods and services by Pitt and its staff, faculty, students and visitors, the overall economic impact of all of Pitt’s operations on Pennsylvania in 2021 was $5.2 billion ($2.0 billion direct impact and $3.2 billion indirect and induced). (See Figure 1).
Economic Output by Industry
The table below shows only the top 10 industries impacted by Pitt operations in terms of economic output by industry.
|Description||Total Economic Output|
|Real Estate Establishments||$348,544,478|
|Transit and Ground Passenger Transportation||$320,870,635|
|Construction of New Educational and Vocational Structures||$210,518,515|
|Hotels, Motels, and Casino Hotels||$128,054,617|
|Monetary Authorities and Depository Credit Intermediation||$85,180,511|
Source: Tripp Umbach, using IMPLAN results from data obtained through the University of Pittsburgh