From its foundation as and administrative unit of the Canton Ticino in the  1960's the institute has been monitoring the regional economy.  In 1996, year of the foundation of the Università della Svizzera italiana, it has been integrated in the Faculty of Economics. In the sequel, the research activities were organized according to a pure university logic with the integration of PhD students and post-docs and an assistant professor in regional economics. The applied research for the Canton and its economy has been reorganized and since 2005 is regulated in the framework of a service contract. These services are delivered via the Center of the Observation of the Dynamics of the Economy (CODE) which is transversal to the research activities at the institute. The institute is also promoting the collaboration with the University of Applied Sciences (SUPSI).

Research at the institute covers the various aspects of regional and urban economics, ranging from regional growth and development to competitiveness and innovation, and from labor market issues to transportation and mobility. Recently an important research activity is developing in the field of tourism, organized in the TourLab and linked to the Master in International Tourism and its network.

Teaching by members of the institute cover microeconomics, international, regional and urban economics, economics of innovation and economics of tourism, leisure and mobility.