Iowa State's Economic Impact Hits $6 Billion

University's $6 billion impact supports 1 in 36 Iowa jobs, analysis finds

Published on Feb. 27, 2026

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According to an analysis conducted for the Iowa Board of Regents, Iowa State University's $6 billion economic impact supports one out of every 36 jobs in Iowa. The university's total impact includes $2.1 billion in economic development and added income from ISU startups and Iowa-based businesses assisted by CIRAS and Iowa State's Small Business Development Center.

Why it matters

Iowa State University is a major economic driver for the state, generating significant economic activity, job creation, and tax revenue. The university's research, innovation, and support for businesses and communities across Iowa demonstrate its vital role in the state's economy.

The details

The analysis found that Iowa State's total economic impact supports 59,888 jobs, representing 2.5% of Iowa's gross state product. This includes $2.1 billion in economic development and added income from ISU startups and businesses assisted by the university's research and outreach programs. Additionally, the value of an Iowa State degree continues to grow, with graduates earning $26,600 more annually than those with just a high school diploma.

  • The analysis was conducted for fiscal year 2023-2024.

The players

Iowa State University

A public research university located in Ames, Iowa, known for its strengths in agriculture, engineering, and science.

Iowa Board of Regents

The governing body responsible for overseeing Iowa's public universities, including Iowa State University.

Distynct

An Ames-based ag-tech startup that received assistance from Iowa State University's Center for Industrial Research and Service (CIRAS).

David Spalding

The interim president of Iowa State University.

Lightcast

The consulting firm that conducted the economic impact and investment analysis for the Iowa Board of Regents.

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What they’re saying

“Iowa State is world-class institution for innovation and research that benefits all Iowans.”

— David Spalding, Iowa State University interim president (Mirage News)

The takeaway

Iowa State University's $6 billion economic impact demonstrates its vital role in driving economic growth, job creation, and innovation across the state of Iowa. The university's research, outreach, and support for businesses and communities have a significant and far-reaching impact on the state's economy.