Advanced Search
MyIDEAS: Login

Inducing Human Capital Formation: How Efficient Is an Education Subsidy?

Contents:

Author Info

  • Sahana Roy Chowdhury

    (Monetary Research Project, ICRA Limited, India and Indian Statistical Institute, India)

Abstract

This paper presents a two-step job ladder model where a skilled individual faces uncertainty in getting a skilled job and an inferior (unskilled) job down the job ladder is the alternative employment opportunity. When the probability of getting the skilled job is low enough, the model suggests the optimal policy to reach the social optimum is taxing rather than subsidizing human capital investment. The paper analyses the conditions when migration can act as a substitute for subsidizing human capital formation by moving the private optimum closer to the social optimum.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.ijbe.org/table%20of%20content/pdf/vol9-2/vol9-2-02.pdf
Download Restriction: no

File URL: http://www.ijbe.org/table%20of%20content/abstract/Vol.9/No.2/02.htm
Download Restriction: no

Bibliographic Info

Article provided by College of Business, and College of Finance, Feng Chia University, Taichung, Taiwan in its journal International Journal of Business and Economics.

Volume (Year): 9 (2010)
Issue (Month): 2 (August)
Pages: 105-114

as in new window
Handle: RePEc:ijb:journl:v:9:y:2010:i:2:p:105-114

Contact details of provider:
Postal: 100 Wenhwa Road, Seatwen, Taichung
Web page: http://www.ijbe.org/
More information through EDIRC

Related research

Keywords: human capital formation; externalities; job uncertainty; education subsidy; migration;

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Stark, Oded & Wang, Yong, 2001. "Inducing Human Capital Formation: Migration as a Substitute for Subsidies," Economics Series 100, Institute for Advanced Studies.
  2. Elizabeth M. Caucutt & Krishna B. Kumar, 2000. "Higher Education Subsidies and Heterogeneity, A Dynamic Analysis," RCER Working Papers 472, University of Rochester - Center for Economic Research (RCER).
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:ijb:journl:v:9:y:2010:i:2:p:105-114. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Yi-Ju Su).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.