Scandinavian Working Papers in Economics
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Swedish Institute for Social Research, Stockholm University Working Paper Series, Swedish Institute for Social Research, Stockholm University

No 7/2004:
Universities in the regional economy. Evidence from Swedish employer-employee linked data.

Helena Persson () and Håkan Regnér ()

Abstract: This study uses employer-employee linked data on all Swedish firms to analyze the impact of a college on the local economy. It focuses on colleges established in the 1970s and measures the effects 20 years after the establishment. The results show that there are no significant effects on survival rate of establishments, overall employment growth, overall growth of college graduates or employment growth in OECD defined high-tech industries. The results do not support the political motives behind the establishment and they reject the hypothesis of large regional spillovers from a college. But it is also possible that it takes more than 20 years before a university has a significant impact on regional development.

Keywords: college education; labour demand; regional employment; (follow links to similar papers)

JEL-Codes: J21; R11; R23; (follow links to similar papers)

32 pages, November 2, 2004

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