A report by Northstar Economics Inc. found UW-Madison contributes $12.4 billion each year to Wisconsin's economy.
The Madison-based firm said that number is an increase of $7.7 billion compared to its last study in 2003.
Northstar CEO David J. Ward said he is pleased with the impact UW-Madison has on the economy, and attributes much of the success to the university's research efforts.
""These numbers show that the UW-Madison has been a wise investment on the part of the citizens of Wisconsin, one that will help lead us out of this recession,"" UW-Madison Chancellor Biddy Martin said.
Martin said she credits the university's faculty, students and staff for the economic impact.
Although she is satisfied with the numbers, Martin believes the New Badger Partnership would allow the university to be even more successful.
""What we need is to become more effective, more efficient, to have more flexibility, and more autonomy,"" Martin said.
The study, led by Professor William A. Strang, director of the Bureau of Business Research at the UW-Madison School of Business, also found:
• UW-Madison generates $614 million in state tax revenue.
• Out-of-state tuition earns $65 million annually.
• For every $1 of state tax investment, there is about $21 of economic activity in the state.
• For every $1 billion UW-Madison earned annually from outside Wisconsin, $2 billion was generated inside the state.
• UW-Madison and its affiliate organizations support 128,000 jobs.
