Economic Impact Analysis
Responsible Staff: Jeff Hayes
Purpose
Economic Impact Analysis measures the effect on employment, income and sales that new or existing businesses or industries have on a particular region. This type of analysis allows a community or region to answer questions such as: What will the impact be of a new business moving into the area? or What will the impact be from a new construction project in the area?
Economic Impact Analysis measures the transactions that take place within a local economy resulting from the existence of a business(es) in the region. The business(es) purchase labor from households in exchange for money (wages). The households take that money and spend it on goods and services from other industries and businesses within the local economy. The business(es) also purchase inputs from these industries and businesses in exchange for money. The purchases made by both households and businesses cycle through the economy and create additional spending. Measuring the cycling of dollars through the economy will illustrate the economic impact the business(es) might have on the local economy.
Description of Work
NCC recently purchased IMPLAN® (IMpact Analysis for PLANing), which is an input-output modeling software package. This new software now allows NCC to conduct and compute different Economic Impact Analyses for the North Country region.
Working closely with the town, or other civic group, NCC staff will collect all relevant data needed for the analysis. Depending on the type of analysis and project being studied, the data requirements will be different. NCC staff will analyze the data and prepare a finished report and present the results to the town (group) and public at large.
Timeframe
The timeframe for an Economic Impact Analysis is dependent on the complexity of analysis. Some projects might be relatively straightforward and take a week or two. Others might take more data collection and analysis, and may take several months.
Cost
Again, this is entirely dependent on the type of analysis to be done. The cost will be negotiable, but ranges from between $500 upwards to $25,000. There is also an opportunity for NCC to match local funds with funding from CDFA. Please inquire Kevin for information on matching funds.
MARKET ANALYSIS
Purpose
A Market Analysis is useful if a town or community is interested in having some information and data about their local economy. The information within these reports identifies what the strengths and weaknesses are of the local economy, as well as providing other useful demographic data. These reports could be used for identifying what sort of businesses a community should market towards for economic development and diversification of its local economy. This report can also be a good source of baseline data for a community.
Description of Work
The report is usually about 20 pages and contains demographic data such as: Location Quotients, employment numbers (by industry), wage information (by industry), education of workforce, commuting patterns, housing stock numbers, identification by the analyst of the strengths and weaknesses of the local economy, as well as some additional information the community would like contained within the report.
Cost
The typical cost for a Market Analysis for a town is $1,500.
Timeframe
A Market Analysis for one town usually takes about three to four weeks to complete.