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Higher education in Turkey: Subsidizing the rich or the poor?

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  • Caner, Asena
  • Okten, Cagla

Abstract

We investigate how the benefits of publicly financed higher education in Turkey are distributed among students with different socioeconomic backgrounds. We use a dataset from a nationally representative sample of university entrance exam takers together with data on government subsidies to public universities. We compare the characteristics of students who succeed in the exam to those who do not and those who enter public universities to those who go to private ones. Our econometric analyses based on a three-stage selection model reveal that students from wealthier and more educated families are more likely to be successful at university entrance. Unlike the findings in other countries, students who enroll in private universities come from higher income and more educated families. Among those who enter public universities, students from higher income and better educated families are more likely to go to universities that receive larger subsidies from the government.

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Bibliographic Info

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

Volume (Year): 35 (2013)
Issue (Month): C ()
Pages: 75-92

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Handle: RePEc:eee:ecoedu:v:35:y:2013:i:c:p:75-92

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

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Keywords: Higher education; Public finance of higher education; Turkey;

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References

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  1. Ferreira, Francisco H. G. & Gignoux, Jeremie & Aran, Meltem, 2010. "Measuring inequality of opportunity with imperfect data : the case of Turkey," Policy Research Working Paper Series 5204, The World Bank.
  2. Manos Antoninis & Panos Tsakloglou, 2001. "Who Benefits from Public Education in Greece? Evidence and Policy Implications," Education Economics, Taylor & Francis Journals, vol. 9(2), pages 197-222.
  3. Tansel, AysIt & Bircan, Fatma, 2006. "Demand for education in Turkey: A tobit analysis of private tutoring expenditures," Economics of Education Review, Elsevier, vol. 25(3), pages 303-313, June.
  4. Rosenzweig, Mark R & Schultz, T Paul, 1982. "Market Opportunities, Genetic Endowments, and Intrafamily Resource Distribution: Child Survival in Rural India," American Economic Review, American Economic Association, vol. 72(4), pages 803-15, September.
  5. Behrman, Jere R., 1999. "Labor markets in developing countries," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 43, pages 2859-2939 Elsevier.
  6. Tansel, A., 1998. "Determinants of School Attainment of Boys and Girls in Turkey," Papers 789, Yale - Economic Growth Center.
  7. Tansel, Aysit, 2002. "Determinants of school attainment of boys and girls in Turkey: individual, household and community factors," Economics of Education Review, Elsevier, vol. 21(5), pages 455-470, October.
  8. Fields, Gary S, 1975. "Higher Education and Income Distribution in a Less Developed Country," Oxford Economic Papers, Oxford University Press, vol. 27(2), pages 245-59, July.
  9. Liu, Jin-Tan & Chou, Shin-Yi & Liu, Jin-Long, 2006. "Asymmetries in progression in higher education in Taiwan: Parental education and income effects," Economics of Education Review, Elsevier, vol. 25(6), pages 647-658, December.
  10. Leung, Siu Fai & Yu, Shihti, 1996. "On the choice between sample selection and two-part models," Journal of Econometrics, Elsevier, vol. 72(1-2), pages 197-229.
  11. Estelle James & Gail Benjamin, 1987. "Educational Distribution and Income Redistribution through Education in Japan," Journal of Human Resources, University of Wisconsin Press, vol. 22(4), pages 469-489.
  12. Martín González Rozada & Alicia Menéndez, 2002. "Public University in Argentina: Subsidizing the Rich?," Working Papers 210, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
  13. Fernandez, Raquel & Rogerson, Richard, 1995. "On the Political Economy of Education Subsidies," Review of Economic Studies, Wiley Blackwell, vol. 62(2), pages 249-62, April.
  14. Asena Caner & Cagla Okten, 2008. "Risk and Career Choice: Evidence from Turkey," Working Papers 0803, TOBB University of Economics and Technology, Department of Economics.
  15. Clément Lemelin, 1992. "Short-Term Redistributive Effects of Public Financing of University Education in Quebec," Canadian Public Policy, University of Toronto Press, vol. 18(2), pages 176-188, June.
  16. Avraham Ebenstein, 2010. "The "Missing Girls" of China and the Unintended Consequences of the One Child Policy," Journal of Human Resources, University of Wisconsin Press, vol. 45(1).
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Cited by:
  1. S. Pelin Akyol & Verónica Frisancho & Kala M. Krishna & Cemile Yavas, 2013. "Preferences, Selection, and Value Added: A Structural Approach Applied to Turkish Exam High Schools," CESifo Working Paper Series 4302, CESifo Group Munich.
  2. Saziye P. Akyol & Kala Krishna, 2014. "Preferences, Selection, and Value Added: A Structural Approach," NBER Working Papers 20013, National Bureau of Economic Research, Inc.

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