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Economic Impact of Health Research

Investment: Funding sources for overall research and development (2007)

Source of R&D Funding InvestmentState Rank
Federal Government

 $5,006,000,000

20
Industry $3,499,000,000 17
Universities $260,000,00014
Non-profit $42,000,00022
Other * $51,000,000 24
Total $5,006,000,00020

* Other represents funding from state and local governments and funding for Federally Funded Research and Development Centers from non-federal sources.

Source: National Science Foundation, National Patterns of R&D Resources, 2008


Population (2011)

 Residents State Rank
Population, June 1, 2011

6,392,017

16

Source: U.S. Census Bureau, 2010 Census Data


Economic Impact: Statistics for research-driven health industries (2008)

Industry EmploymentAnnual Salary
Pharmaceutical 1,041$50,899
Medical Device5,275
$57,746
Research, Testing, and Laboratories7,782
$63,924
Overall Private Sector2,174,709$41,920
Source: Battelle and Biotechnology Industry Organization (BIO),  BIO State Bioscience Initiatives, 2010

Highlights from local economic impact studies

United for Medical Research's 2011 study, An Economic Engine, shows that in 2010, NIH invested $176,000,000 in Arizona, producing 4,558 new jobs.

In 2010, AZ Governor Jan Brewer dedicated $2.2 million in stimulus funds towards Science Foundation Arizona, who will use the money to fund development of new medical diagnostic tools and clinical research for major diseases, including lung cancer, kidney disease, and Alzheimer's.


Arizona State University had an economic impact of $2.1 billion and 37,020 jobs in FY 2002.

The University of Arizona (UA) supported 41,300 jobs and had an economic impact of $2.3 billion in FY 2004. Every dollar from the state generated an additional $3.50 in grants, contracts, and gifts.

The University of Arizona received more than $285.1 million in research funding in FY 2002. This supported more than 3,400 direct jobs at UA and had a state-wide impact of 9,540 jobs.

The Phoenix Biomedical Campus of the UA College of Medicine-Phoenix is expected to produce up to $2.1 billion in annual economic impact as well as employment for up to 24,000 Arizonans by 2025.

The Association of American Medical Colleges reports that the member medical schools and teaching hospitals in the state had a combined economic impact of $6.3 billion and a total employment impact of 41,332 in 2008.

According to Arizona BioBasics, venture capital investments in the biosciences totaled $77 million in the first three quarters of 2007. Arizona's jobs in the biosciences increased by 18.5% from 2002-2006. Every dollar invested in bioscience leveraged $6.26 in other investments.

The Mayo Clinic in Scottsdale had a total economic impact of $704 million and 10,950 jobs in Arizona in 2002.

The Translational Genomics Research Institute (TGen) in Phoenix is expected to generate an annual economic impact of $202.4 million and 3,125 jobs by the year 2025.