How to measure the local economic impact of the universities' third mission activities?

Nowadays it is more and more important to know that how certain units of regional economy (enterprises, higher education institutions, other units) affect local economy. The economic impact analysis of higher education institutions is more complex than the impact analysis of enterprises, since the complexity of multiple direct and indirect transmissions and effects. The economic effects of higher education institutions (HEIs) are easy to access and easy to systematize using the classification of first, second and third generation universities. The traditional activities of universities have broadened. Beyond the high-quality of education (first generation universities) high-quality research is also necessary (second generation universities), furthermore it is also important that the scientific results should be adapted by the local economy (third generation universities). Generally, there are four substantial problems. First, the definition of impact, second, measuring and estimating first-round expenditures and avoiding double-counting, third, estimating the correct value of the multiplier, fourth, the quantification of third mission activities. The purpose of our study is to reveal the methodology of the quantification of third mission universities regarding the economic impact of universities. We attempt to fully systematize the fundamental challenges of measuring the third mission activities of universities.