Illinois Statewide Aviation Economic Impact Study

Study Process

The economic benefits associated with aviation in Illinois were quantified using a standard econometric modeling process that has been approved by the FAA. This economic study estimated economic benefits in terms of jobs, payroll and economic output. This methodology has been used to successfully quantify the value of airports and airport systems throughout the United States.

The data needed for this study came from numerous efforts at each system airport. Airport managers and aviation-related organizations were surveyed to collect the information necessary to estimate the on-airport employment, payroll, and output. Visitors to Illinois using commercial airlines and general aviation aircraft were surveyed to estimate the benefits associated with their expenditures.

The induced impacts of these airport activities were calculated using multipliers that are specific to Illinois. For example, when an airport employee purchases local goods and services, that spending circulates through the local economy by supporting the jobs and payroll of other businesses and thereby generates additional economic activity in the region. The total economic impact is the sum of all on-airport, visitor, and multiplier impacts.

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Types of impacts

Direct Impacts include both direct impacts related to on-airport businesses and government agencies, and off-airport impacts which are primarily attributed to airport visitor spending.

Multiplier Impacts are comprised of indirect and induced impacts. These impacts are attributed to employees spending their earnings at local businesses and the on-airport businesses purchasing goods and services locally. This re-circulation is commonly referred to as the “multiplier effect.”

Total Impacts are the combination of all Direct and Multiplier impacts.

Impact Measures

Employment measures the number of full-time equivalent (FTE) jobs related to airport activity including on-airport construction. A part-time employee counts as one half a full-time employee.

Payroll measures the total annual wages, salary, and benefits paid to all workers whose employment is directly attributable to airport activity.

Economic Activity (Output) measures the value of goods and services related to airports in Illinois. The output of on-airport businesses is typically assumed to be the sum of annual gross sales and average annual capital expenditures.