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¿Es rentable para el sector público invertir en educación?

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  • Inés P. Murillo Huertas

    ()
    (Universidad de Extremadura)

  • Francisco Pedraja Chaparro

    ()
    (Universidad de Extremadura)

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    Abstract

    The present paper analyzes one of the advantages that a country can derive from people with higher educational levels, i.e. higher tax revenues resulting from the higher earnings from higher school attainment.More specifically, we test whether the marginal revenue obtained by the public sector from taxpayers holding an additional educational level is higher than the marginal public expenditure on them. To accomplish this aim, we extend Psacharopoulos (1981) analysis and calculate internal rates of return for public expenditure in schooling. Our results suggest that taxpayers with an additional educational level, including those attaining post-compulsory educational levels, are profitable for the public sector.

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    File URL: http://www.ief.es/documentos/recursos/publicaciones/revistas/hac_pub/ARTICULO1_188.pdf
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    Bibliographic Info

    Article provided by IEF in its journal Hacienda Pública Española/Revista de Economía Pública.

    Volume (Year): 188 (2009)
    Issue (Month): 1 (March)
    Pages: 9-29

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    Handle: RePEc:hpe:journl:y:2009:v:188:1:p:9-29

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    Related research

    Keywords: Education expenditure; tax burden; internal rate of return.;

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    References

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    1. Antonio Ciccone & Federico Cingano & Piero Cipollone, 2004. "The Private and Social Return to Schooling in Italy," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 63(3-4), pages 413-444, December.
    2. Cecilia Albert Verdú, 1998. "- Higher Education Demand In Spain: The Influence Of Labour Market Signals And Family Background," Working Papers. Serie EC 1998-17, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    3. Angel de la Fuente & Rafael Domenech & Juan Francisco Jimeno, 2003. "Human capital as a factor of growth and employment at the regional level. The case of Spain," UFAE and IAE Working Papers 610.04, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
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