McGill University injects $4.9 billion into the Quebec economy over ten years
A new study describes the economic impact of McGill University on the provincial economy.
Five years after the first study of the economic impact of McGill University on the Quebec economy, from funds originating outside the province, a new analysis shows that the institution remains of considerable importance in the economic life of the province.
In fact, the total amount contributed by the University to the local economy, directly and indirectly, from sources outside Quebec grew from $277.7 million in 1985 to $616.6 million by 1995. However, the authors of this second study, Professor Jagdish Handa, and his research assistant, Mr. Ossama Mikhail, see a cloud in this bright sky. For, if the total McGill-attributable expenditures in Quebec, in real terms, increased by 39% during the period from 1985 to 1990, they increased by only 15.7% from 1990 to 1995. According to Professor Handa, the slowdown over the last five-year period can be traced to cutbacks in public funding.
Despite this concern, Vice-Principal (Research) Dr Pierre Bélanger is especially pleased that the new study was able to measure the impact of McGill on the Quebec economy over a ten-year period. "Reading the 66 page report, The Economic Impact of McGill University on Québec, one learns that McGill-induced inflows of funds from outside Quebec have brought about local expenditures totalling $4.9 billion during those ten years," noted Dr. Bélanger. "And, out-of-province funding of research in Quebec, of which approximately half comes to McGill, makes Montreal the capital of university-based research in Canada."
McGills level of direct annual inflow from outside the province ($362 million in 1995) compares very favourably with those generated by the exports of leading companies with headquarters in Quebec, such as BioChem Pharma ($182 million), SNC-Lavalin ($443 million), and Alcan Aluminum ($1,577 billion).
Media representatives who wish to obtain a copy of the résumé or of the full report on The Economic Impact of McGill University on Québec, are invited to contact Joe Zackon, International Communications Officer, University Relations Office (398-8305).