This document presents an economic analysis of higher education in Tennessee from a student, societal, and state perspective. The cost-benefit ratios speak favorably for the economic value of higher education in Tennessee from the student's perspective. On average, a student may expect a return of $5.44 for each dollar invested; the return for an associate degree is $5.84. The cost-benefit ratios demonstrate the excellent value of higher education in Tennessee. On average, society may expect a return of $9.30 for each dollar invested, based on a Department of Commerce multiplier estimating the impact of income on the economy. A table shows the income that the state may expect (in sales tax revenue alone) over and above what a high school graduate would be expected to contribute. For example, state tax revenues (increase) for a two year associate degree, $8,444; for a Bachelor's degree, $18,096; and for an advanced degree, $31,054. It is clear from this information that the state achieves a significant return on its investment in higher education. The document concludes that an investment by the state in higher education institutions of the Tennessee Board of Regents system yields significant returns to the student, to the state, and to society as a whole. (JJL)