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Universities as engines for regional growth? Using the synthetic control method to analyze the effects of research universities

Carl Bonander, Niklas Jakobsson (), Federico Podestà and Mikael Svenson

No 2016-03, FBK-IRVAPP Working Papers from Research Institute for the Evaluation of Public Policies (IRVAPP), Bruno Kessler Foundation

Abstract: Are research universities important for regional growth and development? We study the impact on the regional economy of granting research university status to two former university colleges in two different regions in Sweden. We analyze the development in the treated regions compared to a set of control regions that are created using the synthetic control method. We find small or no effects on the regional economy. Our findings cast doubt on the effectiveness of research universities in fostering regional growth and development. We contribute to the existing research by using a more credible identification strategy in assessing the effects of universities on the regional economy compared to what has usually been used in previous studies.

Keywords: Higher education; Local economy; Regional development; Research; University (search for similar items in EconPapers)
JEL-codes: H52 H75 O18 R11 (search for similar items in EconPapers)
Date: 2016-02
New Economics Papers: this item is included in nep-cse, nep-geo and nep-ure
References: View references in EconPapers View complete reference list from CitEc
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