America’s community colleges create value in many ways – not only by helping students develop the skills needed to have a prosperous career but also by supplying employers with the skilled workers they need to make their businesses more productive. This report by the American Association of Community Colleges (AACC) quantifies the value of community colleges in terms of economic impact (i.e., to the national economy) and return on investment (i.e., to individuals and society). It finds that America’s community colleges have a significant positive impact on the national economy and generate a return on investment for their main stakeholder groups: students, society and taxpayers.
Specifically, AACC found that, in 2012 alone, former American community college students generated $806.4 billion in added income, based on increased productivity and wages. At the societal level, AACC finds a benefit-cost ratio of 25.9 and a net present value at nearly $1.2 trillion, based on added income and social savings (i.e., lower health care costs, reduced crime rates, etc.) which are associated with more education and employment.
