The Role of Virginia Tech in Human Capital Formation

Virginia Tech contributes significantly to social and economic progress at the regional, state and national levels through its teaching, research and public service activities. The study is motivated by the current debate on the appropriate level of support for higher education in Virginia's largest university. This study measures the benefits of the university's undergraduate teaching mission. The results suggest that a VT undergraduate degree significantly increases the lifetime earnings of the graduates and also leads to several other benefits to the graduate, to his/her family, and to society. This study can help policy-makers to better understand the important contribution of Virginia Tech's teaching mission to society, and thus make more-informed decisions regarding the appropriate level of support for higher education.