Product Mix and Cost Disaggregation: A Reinterpretation of the Economics of Higher Education
AbstractThis paper attempts to separate undergraduate, graduate, and research costs at the university. Since the proportion of resources allocated to each of these activities varies systematically across time and institutions, this disaggregation alters our cross-sectional and intertemporal picture of productivity, net benefits, and subsidies in higher education. Real undergraduate costs are shown to be much lower than previously assumed and the social rate of return higher; educational "productivity" has been rising through time, contrary to popular belief. Undergraduate education is now a profitable "production" activity at universities, used to subsidize their "consumption" of loss-making graduate education. Community college teaching is more costly and heavily subsidized than university teaching of lower-division students.
Download InfoIf 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.
Bibliographic InfoArticle provided by University of Wisconsin Press in its journal Journal of Human Resources.
Volume (Year): 13 (1978)
Issue (Month): 2 ()
Contact details of provider:
Web page: http://jhr.uwpress.org/
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Estelle James & Egon Neuberger, 1981. "The university department as a non-profit labor cooperative," Public Choice, Springer, vol. 36(3), pages 585-612, January.
- Pablo Gonz�lez, 2002. "Lecciones de la investigaci�n econ�mica sobre el rol del sector privado en educaci�n," Documentos de Trabajo 117, Centro de Economía Aplicada, Universidad de Chile.
- Gordon Winston & David Zimmerman, 2004.
"Peer Effects in Higher Education,"
in: College Choices: The Economics of Where to Go, When to Go, and How to Pay For It, pages 395-424
National Bureau of Economic Research, Inc.
- Gordon C. Winston & David J. Zimmerman, 2003. "Peer Effects in Higher Education," NBER Working Papers 9501, National Bureau of Economic Research, Inc.
- Gordon C. Winston & David J. Zimmerman, 2003. "Peer Effects in Higher Education," Williams Project on the Economics of Higher Education DP-64, Department of Economics, Williams College.
- Balazs Varadi, 2001. "Multiproduct Cost Function Estimation for American Higher Education: Economies of Scale and Scope," IEHAS Discussion Papers 0111, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences.
- Michael Rothschild & Lawrence J. White, 1991.
"The University in the Marketplace: Some Insights and Some Puzzles,"
NBER Working Papers
3853, National Bureau of Economic Research, Inc.
- Michael Rothschild & Lawrence J. White, 1993. "The University in the Marketplace: Some Insights and Some Puzzles," NBER Chapters, in: Studies of Supply and Demand in Higher Education, pages 11-42 National Bureau of Economic Research, Inc.
- Birdsall, Nancy, 1996. "Public spending on higher education in developing countries: Too much or too little?," Economics of Education Review, Elsevier, vol. 15(4), pages 407-419, October.
- Andreas Ortmann, 2001. "Capital Romance: Why Wall Street Fell in Love With Higher Education," Education Economics, Taylor & Francis Journals, vol. 9(3), pages 293-311.
- Susan Nelson & David Breneman, 1981. "An equity perspective on community college finance," Public Choice, Springer, vol. 36(3), pages 515-532, January.
- Connolly, Laura S., 1997. "Does external funding of academic research crowd out institutional support?," Journal of Public Economics, Elsevier, vol. 64(3), pages 389-406, June.
- Dundar, Halil & Lewis, Darrell R., 1995. "Departmental productivity in American universities: Economies of scale and scope," Economics of Education Review, Elsevier, vol. 14(2), pages 119-144, June.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.