International students supported 300,000 US jobs through their spending in the country in 2011-2012, NAFSA’s annual economic report has shown. The organisation has also launched an interactive value tool online, which makes it easier to see the economic benefits overseas students contribute to individual states and regions.
Normally released in November, NAFSA’s economic analysis was pushed forward to put pressure on the House of Representatives to take action on pending immigration reform. It shows how international student spending several sectors including higher education, accommodation, telecommunications and health insurance has created jobs across the country.
“We intend to add our voice to those seeking to demonstrate the economic benefits of common sense immigration reform”
“With this release, of course we intend to add our voice to those who are seeking to demonstrate the economic benefits of common sense, comprehensive immigration reform,” Vic Johnson, senior adviser of public policy told The PIE News. “We hope House members will listen. This spending benefits most of their districts.”
Figures show that last year 764,495 students studied in the US contributing US$21.8 billion to the economy, an increase from US$20.2 billion last year. For every seven international students, three US jobs were created or supported, amounting to 110,000 jobs directly created and 184,000 indirectly.
Not surprisingly, 76% of all jobs supported by students the the result of spending within the higher education sector. Spending on accommodation accounted for 10%, dining 5%, and retail 4%.
The telecommunications, transport and health insurance industries all benefited as well, while California, Massachusetts and New York proved to be the states enjoying the greatest economic contribution and job creation overall.
NAFSA said it had collaborated with Indiana University-Bloomington‘s Office of International Services Information Services to create an algorithm to collect jobs data as well as develop the analysis tool. This drew on data from the Institute of International Education’s Open Doors 2012 report and Wintergreen Orchard House, a major provider of education data.
76% of all jobs supported by students came from spending on higher education, 10% accommodation, 5% dining and 4% retail
During a time when public interest in economic issues has heightened, NAFSA said it was keen to supplement its annual dollar value analysis with more specific jobs data. Its new interactive tool will help too, incorporating maps and searchable data sets allowing users to drill down into region specific data.
“This new tool makes it easier for advocates and US policymakers to see the economic benefits of international students to the country, states, and individual congressional districts,” said Johnson.
As the US continues to lose its share of the student market to global competitors, NAFSA says the economy is at risk if proposed legislation (recently passed by the US Senate) that would ease permanent residency requirements and post-study work opportunities for foreign graduates isn’t passed.
“Congress must pass commonsense, comprehensive immigration reform so that we can expand our ability to recruit, integrate, and graduate talented international students, strengthen our economy, and reclaim the values that make this nation a land of opportunity, equality, and freedom,” said CEO Marlene Johnson in a statement.