An Economic Impact Study of Lakes Menomin and Tainter Research Question

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An Economic Impact Study of
Lakes Menomin and Tainter
Megan Isaacs, University of Redlands; Advisor: Dr. Chris Ferguson
Research Question
The goal of this research project was to obtain an
understanding of how a cleaner lake would impact the local
economy. This includes changes in recreation as well as the
effect on businesses.
Downtown Activity
Lake Use and Recreation
Students and citizens were asked how frequently they engage in the following activities in Lakes
Menomin and Tainter under current conditions during the summer, as well as hypothetical cleaner
conditions. Results show how the lakes are currently being used below their potential.
Average Student Lake Use
Methods
Current Condition
Approximately 40% of respondents indicated that they would
visit downtown more frequently if Lake Menomin were cleaner.
Current Average Participation in Menomonie
Activities
Average Non-Student Lake Use
Current Condition
Hypothetical Clean Condition
Hypothetical Clean Condition
528 UW-Stout students, UW-Stout staff, and Menomonie
citizens were surveyed in order to better understand their
lake use and economic involvement. UW-Stout students and
staff received different surveys via email, citizens were
surveyed at community events, and businesses were either
visited in person or received a survey in the mail.
Several Times a
Week
Several Times a
Month
Several Times a
Year
Survey Sample
Non-Students
Several
Times a
Week
Several
Times a
Month
Several
Times a
Year
Never
Never
Several
Times a
Year
Several
Times a
Month
Several
Times a
Week
Dining Out
Dining out
Business Environment
Menomonie
Citizens
203/1746
response rate =
12%
200 responses
Canvassed at
Freedom Fest,
Ludington Guard
Band, Farmer’s
Market, Dunn County
Fair
UW-Stout Staff
165/500
response rate =
33%
Summer Student Population
Students were given a hypothetical situation in which Lakes
Menomin and Tainter were cleaner and usable for most of the
summer and they were asked how this would impact their decision
to stay in Menomonie. Results were consistent with previous findings
(Flyr 2014).
26%
Already
Stay
33%
Much More Likely
or Definitely
Would Stay
41%
Unlikely or Would
Not Stay
Going to
Downtown
Shopping
Downtown
Bars
Shopping
Getting Hair
Getting
Done/
Barber
Hair Done/
Barber
Shopping
This growth would have an additional local multiplier in which the initial
increase would cycle through the economy. The multiplier effect for local
retail, restaurants/hotels, and services could be expected to double or
triple this impact.
BUSINESS CLIENTELE BY SECTOR
Residents
Coffee
Grocery
Shopping
Grocery
In addition, 46% job growth, or an additional 1,500 summer jobs, were
projected.
The businesses that were most impacted were retail, accommodation (hotels and restaurants) and
services located downtown. For this reason, these 3 sectors became the primary focus in determining
the impact a cleaner lake would have on revenue and employment.
Students
Coffee
Based on survey responses predicting the impact of a hypothetically
cleaner lake, Menomonie businesses forecasted an average of 25%
growth, or approximately $36.6 million, in additional summer revenue.
The survey was comprised of questions asking about their current business profile, clientele, and
employment, as well as how those characteristics would change under a hypothetical scenario if 30%
more students stayed during the summer.
Business Type
Going to Bars
Predicted Growth
A total of 77 of 500 surveys were collected, resulting in a response rate of 15.4%. 309 surveys were
mailed, 165 emailed, and 26 businesses were visited in person.
UW-Stout
Students
Students
Never
Tourists
Summer Growth
$36.6 million
Businesses
Retail
16%
Retail
59%
Manufacturing,
Non-Profit, Real
Estate and
Other
Businesses
13%
Food and
Accommodation
12%
Service
38%
30%
3%
70%
80
13%
70
60
Food and Accommodation
26%
47%
11%
50
16%
40
18%
30
Service
27%
26%
15%
8%
20
13%
50%
25%
3%
10
0
Retail
Food and
Accommodation
% Revenue Growth
Other Services
% Job Growth
This work supported by National Science
Foundation SMA grant #135738
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