Medicine Hat College proud of its sizable economic impact

By Peggy Revell on April 19, 2018.

A province-wide study shows Alberta’s colleges create a big economic boost, with Medicine Hat College’s being $177.4 million of added income — equal to 2,133 jobs supported.

“Those numbers speak for themselves,” said MHC’s interim president Wayne Resch, about the study by Economic Modeling Specialists International and data that looks at the 2015-16 year 11 of the province’s colleges.

The last study of this type for MHC was completed in 2013, and based on data from 2011-2012.

“There hasn’t a big change in the information found out,” said Resch, adding that EMSI cautioned against doing comparisons between the years as different analytics were used.

Bearing this in mind, Resch noted that the 2013 data showed MHC’s impact was $168.9 million — so the upward increase.

“I think it shows we’re moving in a positive direction.”

Another important part of the study found that every dollar invested by MHC students gives a return of $3.60 in lifetime earnings, said Resch.

“The average diploma graduate earns $13,600 more than a high school graduate at their career midpoint” he noted. “Part of this is not only showing the impact we have in the region, but also giving some people some data on the importance of post-secondary education, and how it effects them even on a local level.”

MHC has a responsibility to its region, said Resch, which is why it’s important to quantify what its impact is.

The study didn’t compare different institutions, although the provincial numbers could potentially be used as benchmarks said Resch.

The study will also be a “valuable tool” he said, when having discussions at the municipal, provincial and federal level when it comes to issues like funding.

Overall, EMSI’s study found that Alberta’s colleges added $4.8 billion to the province’s economy in 2015-16, the equivalent to 43,520 jobs supported in the province.

Students with a diploma will earn $49,500 at the midpoint of their careers, $17,300 more than someone with a high school diploma. They will earn approximately $640,100 more over their working lifetime.

Higher income means paying more taxes — this amounts to $1.6 billion in added tax revenue stemming, with the average annual return on taxpayer investment being 16.3 per cent.

MHC’s economic impact for 2015-16

— $120.6 million in added income to the region comes from increased earnings of MHC’s alumni and the businesses they work for;

— $49.2 million in added income comes from MHC’s payroll and day-to-day spending;

— $7.6 million in added income comes from daily spending of MHC students.

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