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School Characteristics and the Demand for College

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  • Bezmen, Trisha
  • Depken II, Craig A.

Abstract

We estimate the demand for colleges in the United States by relating new applications to easily comparable characteristics of the schools in the sample. We find that the demand for 1134 U.S. colleges in 1994 is positively related to out-of-state tuition but inversely related to in- state tuition. Further, we find those who apply to private schools are more price and income sensitive, and respond more to stronger faculty staffs. That a given state has more schools has a positive effect on the number of public-school applications but a negative impact on private- school applications. Finally, we find no correlation between state population and the number of applicants to colleges in that state, suggesting that those who are willing and able to attend college are mobile.

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Bibliographic Info

Article provided by Elsevier in its journal Economics of Education Review.

Volume (Year): 17 (1998)
Issue (Month): 2 (April)
Pages: 205-210

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Handle: RePEc:eee:ecoedu:v:17:y:1998:i:2:p:205-210

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Web page: http://www.elsevier.com/locate/econedurev

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  1. Spence, A Michael, 1973. "Job Market Signaling," The Quarterly Journal of Economics, MIT Press, vol. 87(3), pages 355-74, August.
  2. Savoca, Elizabeth, 1990. "Another look at the demand for higher education: Measuring the price sensitivity of the decision to apply to college," Economics of Education Review, Elsevier, vol. 9(2), pages 123-134, June.
  3. McCormick, Robert E & Tensley, Maurice, 1987. "Athletics versus Academics? Evidence from SAT Scores," Journal of Political Economy, University of Chicago Press, vol. 95(5), pages 1103-16, October.
  4. Gintis, Herbert, 1971. "Education, Technology, and the Characteristics of Worker Productivity," American Economic Review, American Economic Association, vol. 61(2), pages 266-79, May.
  5. MacKinnon, James G. & White, Halbert & Davidson, Russell, 1983. "Tests for model specification in the presence of alternative hypotheses : Some further results," Journal of Econometrics, Elsevier, vol. 21(1), pages 53-70, January.
  6. Tucker, Irvin III & Amato, Louis, 1993. "Does big-time success in football or basketball affect SAT scores?," Economics of Education Review, Elsevier, vol. 12(2), pages 177-181, June.
  7. Rosen, Sherwin, 1974. "Hedonic Prices and Implicit Markets: Product Differentiation in Pure Competition," Journal of Political Economy, University of Chicago Press, vol. 82(1), pages 34-55, Jan.-Feb..
  8. Murphy, Robert G. & Trandel, Gregory A., 1994. "The relation between a university's football record and the size of its applicant pool," Economics of Education Review, Elsevier, vol. 13(3), pages 265-270, September.
  9. Tierney, Michael L., 1982. "The impact of institutional net price on student demand for public and private higher education," Economics of Education Review, Elsevier, vol. 2(4), pages 363-383, August.
  10. Bera, Anil K. & Jarque, Carlos M., 1982. "Model specification tests : A simultaneous approach," Journal of Econometrics, Elsevier, vol. 20(1), pages 59-82, October.
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Cited by:
  1. Michael Rizzo & Ronald G. Ehrenberg, 2004. "Resident and Nonresident Tuition and Enrollment at Flagship State Universities," NBER Chapters, in: College Choices: The Economics of Where to Go, When to Go, and How to Pay For It, pages 303-354 National Bureau of Economic Research, Inc.
  2. Buss, Christian & Parker, Jeffrey & Rivenburg, Jon, 2004. "Cost, quality and enrollment demand at liberal arts colleges," Economics of Education Review, Elsevier, vol. 23(1), pages 57-65, February.
  3. C F Elliott & Kwok Tong Soo, 2012. "The International Market for MBA Qualifications," Working Papers 24284581, Lancaster University Management School, Economics Department.
  4. Montgomery, Mark, 2002. "A nested logit model of the choice of a graduate business school," Economics of Education Review, Elsevier, vol. 21(5), pages 471-480, October.
  5. Elliott, Caroline & Soo, Kwok Tong, 2013. "The international market for MBA qualifications: The relationship between tuition fees and applications," Economics of Education Review, Elsevier, vol. 34(C), pages 162-174.

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