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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$3,549,000,0008
Industry$12,927,000,0005
Universities$577,000,0003
Non-profit$364,000,0002
Other *$436,000,0001
Total$17,853,000,0004

* 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)

Texas
Residents State Rank
Population, June 1, 2011 25,145,561
2

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


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

Industry EmploymentAnnual Salary
Pharmaceutical 10,077$91,949
Medical Device15,855 $51,473
Research, Testing, and Laboratories27,485 $63,377
Overall Private Sector8,710,163 $46,735 

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 $1,307,000,000 in Texas, producing 31,001 new jobs. Just over $1,000,000,000 of that money went towards research in Texas' colleges and universities.
The Association of American Medical Colleges reports that the member medical schools and teaching hospitals in the state had a combined economic impact of $31.6 billion (ranked 5th in the nation) and a total employment impact of 210,500 in 2008.

The MD Anderson Cancer Center accounted for $1.9 billion in business activity in the Houston region and supported 31,600 Houston jobs in FY 2002.

The 15 institutions of the University of Texas System supported 215,700 jobs and had a total economic impact of $12.8 billion on their host economies during FY 2004.

The 21st Century Life Sciences Roadmap reports that the health care technology industry in Texas accounts for more than 50,000 private jobs and produces $6.5 billion in sales.

In 2000, The Texas Medical Center in Houston contributed $5.8 billion in spending and nearly $3.9 billion in personal income to the region. In addition, the Center supported more than 142,600 workers that year.

The total economic benefit to the Houston area of the University of Houston System was $3.1 billion in 2006. The University also generated 24,000 jobs and attracted more than $100 million in research funding.

According to the Greater San Antonio Chamber of Commerce, the health care and bioscience industries directly employed nearly 112,800 people and had an economic impact of $15.3 billion on the city in 2006.

Texas A&M University
had an overall economic impact of $2.7 billion on Brazos County in 2006. The Texas A&M Health Science Center had a total economic impact on the Bryan-College Station area of nearly $75 million in 2002.

Baylor University had a total economic impact on the Waco Metro Area of $1.22 billion during the 2005-2006 academic year.

Currently under construction, the bio-containment facility at the Galveston National Laboratory is expected to contribute $1.1 billion to the state over 20 years.