Democratic Choice of an Education System: Implications for Growth and Income Distribution

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Democratic Choice of an Education System: Implications for Growth and Income Distribution

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Gradstein, Mark
Justman, Moshe

Abstract

We use an OLG model to examine democratic choice between two modes of government support for education: subsidies for privately purchased education and free uniform public provision. We find little conflict between democracy and growth: the same factors that generate popular support for subsidization over free uniform provision--large external benefits, a large excess burden, and little inequality--also favor its relative growth performance. Furthermore, restricting the franchise to an upper- income elite may also reduce growth. Two extensions examine the effect of intergenerational mobility and indicate the theoretical possibility of periodic swings in the balance between public and private spending. Copyright 1997 by Kluwer Academic Publishers

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Article provided by Springer in its journal Journal of Economic Growth.

Volume (Year): 2 (1997)
Issue (Month): 2 (July)
Pages: 169-83
Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Handle: RePEc:kap:jecgro:v:2:y:1997:i:2:p:169-83

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Alexander Haupt, 2005. "The Evolution of Public Spending on Higher Education in a Democracy," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
David de la Croix & Matthias Doepke, 2007. "To Segregate or to Integrate: Education Politics and Democracy," Working Papers 60, ECINEQ, Society for the Study of Economic Inequality. [Downloadable!]
Other versions:
- Matthias Doepke, . "To Segregate or to Integrate: Education Politics and Democracy," UCLA Economics Online Papers 411, UCLA Department of Economics. [Downloadable!]
- de la Croix, David & Doepke, Matthias, 2006. "To Segregate or to Integrate: Education Politics and Democracy," CEPR Discussion Papers 5799, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
- David de la Croix & Matthias Doepke, 2007. "To Segregate or to Integrate: Education Politics and Democracy," IZA Discussion Papers 2967, Institute for the Study of Labor (IZA). [Downloadable!]
- David de la Croix & Matthias Doepke, 2003. "To Segregate or to Integrate: Education Politics and Democracy," UCLA Economics Working Papers 831, UCLA Department of Economics. [Downloadable!]
- DE LA CROIX, David & DOEPKE, Matthias, 2003. "To segregate or to integrate: education politics and democracy," CORE Discussion Papers 2003082, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE). [Downloadable!]
- David de la Croix & Matthias Doepke, 2007. "To Segregate or to Integrate: Education Politics and Democracy," NBER Working Papers 13319, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
- David, DE LA CROIX & Matthias, DOEPKE, 2003. "To Segregate or to Integrate : Education Politics and Democracy," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2003021, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES). [Downloadable!]
- Matthias Doepke & David de la Croix, 2004. "To segregate or to integrate: education politics and democracy," 2004 Meeting Papers 390, Society for Economic Dynamics. [Downloadable!]
- David De La Croix & Matthias Doepke, 2009. "To Segregate or to Integrate: Education Politics and Democracy," Review of Economic Studies, Blackwell Publishing, vol. 76(2), pages 597-628, 04. [Downloadable!] (restricted)
Vincenzo Lombardo, 2008. "Poor's behaviour and inequality traps: the role of human capital," Working Papers 10_2008, D.E.S. (Department of Economic Studies), University of Naples "Parthenope", Italy. [Downloadable!]
Lombardo, Vincenzo, 2008. "Poor’s behaviour and inequality traps: the role of human capital," MPRA Paper 14511, University Library of Munich, Germany. [Downloadable!]
Bénabou, Roland, 2000. "Tax And Education Policy In A Heterogeneous Agent Economy: What Levels Of Redistribution Maximize Growth And Efficiency?," CEPR Discussion Papers 2446, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
Other versions:
- Roland Benabou, 1999. "Tax and Education Policy in a Heterogeneous Agent Economy: What Levels f Redistribution Maximize Growth and Efficiency?," NBER Working Papers 7132, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
- Benabou, R., 1999. "Tax and Education Policy in a Heterogeneous Agent Economy: What Levels of Redistribution Maximize Growth and Efficiency?," Working Papers 99-12, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
- Roland Benabou, 2002. "Tax and Education Policy in a Heterogeneous-Agent Economy: What Levels of Redistribution Maximize Growth and Efficiency?," Econometrica, Econometric Society, vol. 70(2), pages 481-517, March. [Downloadable!] (restricted)
Benabou, R., 1996. "Unequal Societies," Working Papers 96-17, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
Other versions:
- Roland Benabou, 1996. "Unequal Societies," NBER Working Papers 5583, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
- Bénabou, Roland, 1996. "Unequal Societies," CEPR Discussion Papers 1419, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
Alexander Kemnitz & Robert K. von Weizsäcker, 2003. "Bildungsreform in der Demokratie," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 72(2), pages 188-204.
Roland Benabou, 2004. "Inequality, Technology, and the Social Contract," NBER Working Papers 10371, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
Other versions:
- Roland Bénabou, 2003. "Inequality, Technology, and the Social Contract," Working Papers 141, Princeton University, Woodrow Wilson School of Public and International Affairs, Discussion Papers in Economics.. [Downloadable!]
- Bénabou, Roland, 2004. "Inequality, Technology and the Social Contract," CEPR Discussion Papers 4741, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
- Benabou, Roland, 2005. "Inequality, Technology and the Social Contract," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 25, pages 1595-1638 Elsevier. [Downloadable!] (restricted)
Murat F. Iyigun & Andrew T. Levin, 1998. "Macroeconomic implications of competitive college admissions," International Finance Discussion Papers 613, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
Masaya Yasuoka & Tamotsu Nakamura & Megumi Katahira, 2008. "Private Education and Positive Growth with Shrinking Income Inequality: A Note," Economics Bulletin, Economics Bulletin, vol. 9(4), pages 1-8. [Downloadable!]
Massimo Giannini, 1999. "Accumulation And Distribution Of Human Capital: The Interaction Between Individual And Aggregate Variables," Working Papers 3_1999, D.E.S. (Department of Economic Studies), University of Naples "Parthenope", Italy. [Downloadable!]
Massimo Giannini, 1999. "Accumulation and Distribution of Human Capital: The Interaction between Individual and Aggregate Variables," GE, Growth, Math methods 9901002, EconWPA. [Downloadable!]
Murat F. Iyigun & Andrew T. Levin, 1998. "What determines public support for affirmative action?," International Finance Discussion Papers 620, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
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- Murat F. Iyigun & Andrew T. Levin, 2003. "What Determines Public Support for Affirmative Action?," Southern Economic Journal, Southern Economic Association, vol. 69(3), pages 612-627, January.
Alexander Haupt & Silke Uebelmesser, 2009. "Voting on Labour-Market Integration and Education Policy when Citizens Differ in Mobility and Ability," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
Hans Gersbach & Lars Siemers, 2005. "Can Democracy Educate a Society?," IZA Discussion Papers 1693, Institute for the Study of Labor (IZA). [Downloadable!]

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