Model Assumptions
As in the 2004 study, this report provides estimates of only the direct, pecuniary/financial benefits (or “return”) generated for the public sector as a result of the “investments” that the public makes in libraries via federal, state and local appropriated funds. This analysis excludes “returns” to the federal, state and local economies that are not financial benefits (these are known as “non-pecuniary/non-market” or “intangible” benefits such as cultural and other quality of life enhancements, higher levels of educational attainment, greater productivity through enhanced job placement or investment decisions, and so forth). Hence, the assumptions used to estimate the economic return to the state through its investments in libraries in this report can be characterized as conservative.

As stated in 2004, [i]t is important, however, to recognize that the benefits to the state of Florida associated with these intangible benefits of libraries are significant. The amenity values or benefits to the community by having a library present (and enhanced by the multi-faceted activities of libraries) can also be significant. Libraries provided access to financial information, job and career resources, computer technology and services, business resources, educational support for the community and support for public services. (McClure, Charles R., B.T. Fraser, T.W. Nelson, and J.B. Robbins. 2001, Economic Benefits and Impacts from Public Libraries in the State of Florida. Information Use Management and Policy Institute, School of Information Studies, Florida State University.) (quotation from A Study of Taxpayer Return on Investment in Florida Public Libraries, 2004.)

The model assumptions are:

1) The base model assumes a constant rate of growth for the economy over a thirty-two year (2008 to 2040) time horizon.
2) The models use actual FY2008 library revenues of $661.5 million.
3) It was assumed for each scenario that the absence of libraries would either mean that tax dollars would be redirected or not collected under Florida’s revenue schemes. No tax cut was built into any of the scenarios.
4) REMI results were expressed in terms of impacts on Gross Regional Product (the value of all goods and services produced in Florida), employment and personal disposable income.