Journal of Public Finance Studies
Kırklareli University’s Contributions to the Local EconomyYusuf Cengiz, Naci Tolga Saruç
In addition to providing an educational function, higher education institutions have emerged as economic actors who contribute to the growth of the areas where they are based. Universities produce human capital, boost economic activity, and also assist development. This research examines the direct, indirect, and induced benefits that Kırklareli University, founded in 2007, provides to the local economy. The purpose of this research is to calculate the overall expenditures incurred by Kırklareli University, the expenditures incurred by higher education students, and the economic worth of the employed workforce in general. In this regard, a questionnaire was administered to 393 Kırklareli University students to establish their expenses. According to the collected data, students’ average monthly spending is 3,144 TL. From this perspective, the economic effect of student spending on the city is around 650 million TL. In addition, the indirect employment impact of staff expenses from the university budget and student spending involves a total of 5,563 individuals. The entire direct and indirect revenue impact is 820 million TL. In addition to the direct and indirect benefits, the research has projected the university to generate 2,673,830,832 TL in induced revenue effects and to have an induced employment impact of 20,623 individuals. The total induced impact regarding income accounts for around 10% of the province’s gross domestic product. According to the findings, Kırklareli University has been a significant participant in the city’s economy due to how it spends from its own budget, its student expenditures, and the employment statistics it has generated.
Kırklareli Üniversitesi’nin Kent Ekonomisine KatkısıYusuf Cengiz, Naci Tolga Saruç
Yükseköğretim kurumları, sunmuş olduğu eğitim hizmetinin yanı sıra kuruldukları bölgelerde kalkınmaya destek olan ekonomik bir aktör olarak karşımıza çıkmaktadır. Üniversiteler beşerî sermayeyi geliştirip ekonomik aktiviteyi canlandırırken aynı zamanda nihai olarak kalkınmaya destek olan kurumlardandır. Bu çalışmada 2007 yılında kurulan Kırklareli Üniversitesi’nin Kırklareli ekonomisine doğrudan, dolaylı ve uyarılmış katkıları ele alınmıştır. Çalışmanın amacı Kırklareli Üniversitesi’nin yapmış olduğu toplam harcamalar, yükseköğretimin bir parçası olan öğrencilerin yapmış olduğu harcamalar ve genel itibariyle istihdam edilen personelin ekonomide ortaya çıkarmış olduğu ekonomik değerin tespit edilmesidir. Bu kapsamda Kırklareli Üniversitesi öğrencilerinin harcamalarının tespiti amacıyla 393 öğrenciye anket uygulaması yapılmıştır. Elde edilen verilere göre öğrencilerin aylık ortalama harcaması 3144 TL’dir. Bu kapsamda öğrenci harcamalarının kent ekonomisine etkisi yaklaşık 650 milyon TL’dir. Ayrıca üniversite bütçesinden yapılan personel harcamaları öğrenci harcamalarından kaynaklanan toplam dolaylı istihdam etkisi 5563 kişidir. Doğrudan ve dolaylı olarak toplam gelir etkisi ise 820 milyon TL’dir. Doğrudan ve dolaylı etkilere ek olarak çalışmada 2.673.830.832 TL uyarılmış gelir ve 20.623 uyarılmış istihdam etkisinin ortaya çıktığı tahmin edilmektedir. Uyarılmış toplam gelir etkisi ilin GSYH’sinin yaklaşık %8’ini oluşturmaktadır. Elde edilen sonuçlara göre Kırklareli Üniversitesi kendi bütçesinden yaptığı harcamalar ve öğrenci harcamalarıyla, yaratmış olduğu istihdam verileriyle kent ekonomisinde önemli bir paydaştır
Higher education institutions contribute to the development of local economies. Universities advance society by promoting the development of human capital and stimulating the economy. Türkiye has 210 higher education institutions, comprised of 129 state institutions, 77 foundations, and four foundation vocational schools. According to theory, universities have direct, indirect, and induced effects on local revenue and employment. What institutions spend on their workers demonstrates their direct impact on income, while their employment levels demonstrate their direct impact on employment. Revenue may be indirectly affected by non-personnel and student costs that come from the university’s budget and associated working capital. The service level per employee is used to achieve indirect employment benefits. and is calculated by dividing the contributions from the service sector to the gross domestic product by the number of employees in the service industry. To calculate the indirect employment effect, divide the indirect income impact by the service output per person. Universities stimulate the local economies where they are located. The stimulus effect involves the construction of a bigger influence via the multiplier effect, depending on the university’s direct and indirect revenue impacts on the local economy. Kırklareli is a province in the Marmara Region and is estimated to have had a GDP of 25 billion TL in 2020 and a per capita income of 67,970 TL. The industrial sector produces 47% of the province’s national income, while the service sector contributes 40%. Thus, the industrial and service sectors continue to influence the city’s expansion. 12 faculties, one conservatory, one college, seven vocational high schools, and 15 application and research centers will comprise Kırklareli University in 2021. In the academic literature, numerous studies have examined the economic contributions from these types of institutions in various provinces, as well as universities’ contributions to local economies. The effect of universities on local economies has been judged to be too significant to ignore. The current study assesses the direct and indirect consequences of Kırklareli University’s 2007 founding on the Kırklareli economy. The objective of this study is to assess the total expenditures Kırklareli University makes, the costs higher education students incur, and the full economic value of all employed personnel. Student expenditures need to be determined in order to display the indirect effect of revenue in its totality. In this context, a survey of 393 students was conducted to assess the cost of attending Kırklareli University. The recommendation has been made that educational expenses should be allocated differently. Information about the types of housing (e.g., rent, dormitory, homestay) during university education, region where the family resides, family income level, occupation and education status of the head of the family, total number of family members, and number of employees are required to reveal students’ demographic profiles. To identify spending, information on housing expenses, food expenditures, education, clothing, energy, sports and cultural activities, personal care, communication, and health costs are also grouped together. According to the collected data, monthly student expenditures average 3,144 TL. Housing, food, and clothing costs make up the greatest share of overall expenditures, in that order. On average, students reported residing in the city for nine months. The effect of student expenditures on the city’s economy is around 650 million TL in this context. Kırklareli University employed a total of 1,299 people as of 2022, consisting of 827 academicians, 296 administrative personnel, and 176 employees. Around 130 million TL of the university’s budget are allocated for personnel expenditures. Based on these figures, Kırklareli University has a direct revenue impact of 130 million TL in terms of personnel expenditures and a direct employment impact of 1,299 people. The indirect employment effect is calculated using the number of service sector employees, the service sector’s contribution to the local income, and the service production value per person. According to the relevant data, Kırklareli University’s budget has an indirect impact on the employment of 542 employees. The indirect employment impact from student fees comparably affects 5,015 individuals, with a consequent total of 5,563 indirect employment impacts in total. As part of Kırklareli University’s indirect revenue contribution to the city, non-personnel expenses total around 70 million TL. In addition to the non-personnel expenditures made from the university’s budget, the indirect revenue impact includes non-personnel expenditures and student expenditures made by circulating the capital enterprises. The entire indirect and direct revenue impact comes to 820 million TL. In addition to direct and indirect advantages, the study has revealed an increase in employment of 20,622 and a rise in revenue of 2,673,830,832 TL. The total adjusted income impact accounts for around 10% of the province’s gross domestic product. Thus, Kırklareli University’s impact on the local economy up to 2022 has been calculated this way. Based on its own budget expenditures, student spending, and number of jobs it supports, Kırklareli University is a considerable contributor to the local economy.