However , for the 12 months to June 2023 , Gold Coast ’ s education and training industry only grew by 1.5 % ( Economy . id , 2024 ). This is substantially lower than the overall growth for the economy during this same period and lower than historical averages for the industry . This suggests the industry is at risk of decreased economic contributions if growth is not supported by economic development initiatives . Furthermore , international students represent a large proportion of the tertiary education sector and are most at risk of decline . This is largely due to the highly competitive and diverse array of international study destinations , thus making international education an important segment for this research .
International students studying in Australia generated more than $ 36.4 billion in output , through tuition fees , accommodation expenses , and daily spending .
METHODOLOGY This project utilised survey data that was conducted in 2022 from 342 international students studying in Gold Coast ( Lawrence , 2022 ). The survey explored a range of topics related to students ’ education enrolments , accommodation arrangements , and expenses whilst living and studying in Gold Coast . Drawing on the survey data , this project analysed the economic impact of the international students to the Gold Coast economy for the year ending June 2022 . With the exception of Schools , which had lodging and living expenses as part of the tuition costs , non-tuition fees ( which included all other expenses ) were averaged across all study types . Economic modelling techniques such as Input-Output analysis and Social Accounting Matrices ( SAMs ) are commonly used to estimate the direct and indirect economic impacts of international education ( Vaiciukeviviute , Stankeviciene & Bratcikoviene , 2019 ; Zhang , Larkin & Lucey , 2017 ).
Department of Education . Finally , we have computed the economic impact by using an Input-Output model derived from the local economy microsimulation model by the National Institute of Economic and Industry Research ( NIEIR ) to model the flow-on effects across different industries . Input-Output ( I-O ) analysis is a widely used economic modelling technique that examines the interdependencies between different sectors of an economy . It helps quantify the relationships between the production and consumption of goods and services across various sectors .
In the context of international education , an I-O model can estimate the direct economic effects by analysing the expenditures made by international students and educational institutions . It estimates the indirect effects by considering the purchases of goods and services by educational institutions , which in turn impact other sectors of the economy . Using multipliers , I-O analysis provides insights into the ripple effects throughout the economy .
ECONOMIC IMPACT RESULTS International education was found to have a significant contribution to the local Gold Coast economy . The economic impact assessment found international students equated to approximately 50 % of the total education and training industry ’ s Gross Value Added ( GVA ) for the year ending June 2022 . The value-added contribution was not exclusive to the education and
Figure 1 : Gold Coast international students by study type
ELICOS 27 %
Non-Award 7 %
Schools 4 % training industry , having flow-on impacts to other Gold Coast industries . The industries with the greatest flow-on impacts from international students include retail trade , accommodation and food services , and health care and social assistance .
Analysis was also undertaken by study type categories – vocational education and training ( VET ), Higher Education , Englishlanguage courses ( ELICOS ), Non-award , and Schools . As shown in Figure 1 , VET programs were the largest category for international students studying in Gold Coast , followed by higher education .
When considering the economic impact of international students by study type , the value added to Gold Coast ’ s economy and the number of local jobs supported were the two primary indicators . As demonstrated in Table 1 , Higher Education had the greatest economic impact of all study types due to the higher tuition fee expenses for this program . One international student enrolled in Higher Education generated $ 38,607 in value added to the local Gold Coast economy and supported 0.36 jobs . School enrolled students had the lowest economic impact ($ 20,519 per student ), largely a result of the lower tuition fees and homestay-type living arrangements . VET enrolled international students had the second highest direct value added to the Gold Coast economy . However , it supported the highest proportion of local jobs per student ( 0.42 ).
VET 34 %
To calculate the economic impact , we initially followed Baumgartner ( 2022 ; 2015 ) and Deloitte Access Economics ( 2015 )— commissioned by the Australian Government
Source : Study Gold Coast ( 2023 )
Higher Education 28 %
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