In 2010, New Jersey received 78 cents on each dollar sent by its taxpayers to Washington, D.C. Military bases remain major federal assets in the state, even after the state’s loss of Fort Monmouth during the last round of actions by the Base Closure and Realignment Commission (BRAC). While the military’s presence has declined in recent decades, the bases continue to contribute substantially to the New Jersey’s economy.
After a data request was made to each installation within the State of New Jersey, Rutgers Economic Advisory Service, R/ECON™ ─ a part of Rutgers University’s Edward J. Bloustein School of Planning and Public Policy, was retained to measure and model the economic contribution to the State’s economy of the various military installations. The R/ECON™ input-output (I-O) model was used to measure the broader multiplier effects of the activity on base. The model is able to identify jobs (employment), labor income (earnings), gross domestic product (GDP or wealth) and output (something close to business revenues) generated in the State both directly and indirectly by the military activity on the bases.