Definitions

Community Economic Benefits: These are benefits that flow from the public library such as library spending with vendors, contractors, etc. in the state; revenues generated by vendors and contractors in the library (e.g., copying, coffee shop, gift shop) and spending that occurs as a result of library use (e.g., restaurants, stores, coffee shops). 

Cost to Use Alternatives: The estimated costs to use alternatives to the public libraries should they cease to exist, and should users decide to pursue alternatives (measured in terms of time and other expenditures). 

Economic Return: The results of public library use that can be expressed in economic terms. 

Gross County Product (GCP): An indicator of the economic well‐being of an area measured in terms of the total economic output or the value of all goods
and services produced.

Lost Use Benefits: Benefits derived from use that would be lost if the public libraries did not exist.

Net Present Value (NPV): Discounted benefits minus discounted costs.

Return on Investment (ROI): The relationship between the total economic benefit and the total investment in public libraries. 

Revenue Investment: The revenues received by the public libraries including federal, state and local funds; fees and fines; cash gifts and donations; and funding for multi-type library cooperatives. 

Total Net Benefits to Users: The added cost to use alternatives to the public library. This is equivalent to the cost to use alternatives minus the user investment. 

User Investment: The investment by users in their time, travel, purchases, etc., necessary to use public libraries or specific services.