The Economic Impact of Manufacturing Extension Centers

A recent U.S. Census survey indicates that two Illinois manufacturing extension centers affiliated with the national Manufacturing Extension Partnership have improved the performance of small Illinois firms and the Illinois state economy. During a 2-year period, the centers directly helped client firms create $22.5 million in sales and create or retain 483 jobs. These benefits, through their direct and indirect effects on the state economy, generated an estimated $119 million in new state output and 450 new state jobs during a 4-year period. State and local tax revenues increased by $9.5 million during the same period, comparing favorably with the $6 million 2-year funding for the two centers. These client-firm impacts occurred in industries important to state economic growth, high-wage employment, and competitiveness relative to the rest of the nation.