IDEAS home Printed from https://ideas.repec.org/h/pal/intecp/978-1-137-41320-8_10.html
   My bibliography  Save this book chapter

Why Don’t We Just Give Them the Money? Financing Living Expenses of Students in Germany

In: Income Contingent Loans

Author

Listed:
  • Barbara S. Grave

    (Stifterverband, RWI)

  • Mathias Sinning

    (University of Queensland
    RWI, IZA)

Abstract

This chapter assesses the subsidies of the German student loan scheme for financing living expenses, establishes hypothetical repayment burdens in the absence of subsidies, and discusses the costs and benefits of conventional and alternative income contingent loans (ICLs). We find that the underlying subsidies of the German student loan scheme range from 57 to 80 per cent, indicating that the current scheme could be replaced by student grants if the administrative costs of collecting the debt are sufficiently high. We further demonstrate that the current scheme would either entail very high repayment burdens or very long repayment durations in the absence of loan subsidies and explain why an ICL may be viewed as a reasonable alternative to the current student loan scheme.

Suggested Citation

  • Barbara S. Grave & Mathias Sinning, 2014. "Why Don’t We Just Give Them the Money? Financing Living Expenses of Students in Germany," International Economic Association Series, in: Bruce Chapman & Timothy Higgins & Joseph E. Stiglitz (ed.), Income Contingent Loans, chapter 9, pages 109-124, Palgrave Macmillan.
    • Handle: RePEc:pal:intecp:978-1-137-41320-8_10
    DOI: 10.1057/9781137413208_10
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Herber, Stefanie P. & Kalinowski, Michael, 2016. "Non-take-up of Student Financial Aid: A Microsimulation for Germany," VfS Annual Conference 2016 (Augsburg): Demographic Change 145727, Verein für Socialpolitik / German Economic Association.
    2. Herber, Stefanie P. & Kalinowski, Michael, 2016. "Non-take-up of student financial aid: A microsimulation for Germany," BERG Working Paper Series 109, Bamberg University, Bamberg Economic Research Group.
    3. Stefanie P. Herber & Michael Kalinowski, 2016. "Non-Take-Up of Student Financial Aid: A Microsimulation for Germany," SOEPpapers on Multidisciplinary Panel Data Research 844, DIW Berlin, The German Socio-Economic Panel (SOEP).
    4. Fels, Katja & Schmidt, Christoph M. & Sinning, Mathias, 2015. "BAföG Plus: Deutschlands Hochschulfinanzierung neu. Nachgelagerte Studiengebühren können die soziale Schieflage in der Bildungsfinanzierung auflösen," RWI Positionen 66, RWI - Leibniz-Institut für Wirtschaftsforschung.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:intecp:978-1-137-41320-8_10. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.