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College Majors in Limited Supply: The Case of Private Universities in Korea

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  • Joseph Han

    (KDI)

Abstract

The distribution of college majors often shows signs of rigidity despite evident changes in the world of work. As a possible explanation for the distribution rigidity in the Republic of Korea, this study focuses on supply-side restrictions, specifically a region-based cap on university enrollment. Using the national-level demand change for each major as an instrument for program-level demand change, this study finds a systematic difference between regulated and unregulated private universities in the responsiveness of program size to student demand. Analyses using sharp changes in regulatory status confirm that the enrollment regulation slows internal adjustments, showing the need for regulatory reform.

Suggested Citation

  • Joseph Han, 2022. "College Majors in Limited Supply: The Case of Private Universities in Korea," Korean Economic Review, Korean Economic Association, vol. 38, pages 381-414.
    • Handle: RePEc:kea:keappr:ker-20220701-38-3-02
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    References listed on IDEAS

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    More about this item

    Keywords

    Higher Education; Enrollment Regulation; College Major; Supply Side; Private Universities;
    All these keywords.

    JEL classification:

    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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