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Short-run distributional effects of public education in Greece

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  • Panagiotis Tsakloglou

    ()
    (Athens University of Economics and Business)

  • Christos Koutsampelas

    ()
    (Economics Research Centre, University of Cyprus)

Abstract

The paper examines the short-run distributional impact of public education in Greece using the micro-data of the 2004/5 Household Budget Survey. The aggregate distributional impact of public education is found to be progressive although the incidence varies according to the level of education under examination. In-kind transfers of public education services in the fields of primary and secondary education lead to a considerable decline in relative inequality, whereas transfers in the field of tertiary education appear to have a small distributional impact whose size and sign depend on the treatment of tertiary education students living away from the parental home. When absolute inequality indices are used instead of the relative ones, primary education transfers retain their progressivity, while secondary education transfers appear almost neutral and tertiary education transfers become very regressive. Finally, we use the EUROMOD tax-benefit microsimulation model in order to estimate the first-round distributional effects of a graduate tax imposed on the current stock of graduates. The main policy implications of the findings are outlined in the concluding section.

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Bibliographic Info

Paper provided by Athens University of Economics and Business in its series DEOS Working Papers with number 1201.

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Length: 23 pages
Date of creation: 17 Jan 2012
Date of revision:
Handle: RePEc:aue:wpaper:1201

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Keywords: Public education; inequality Greece;

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  1. Jimenez, Emmanuel, 1986. "The Public Subsidization of Education and Health in Developing Countries: A Review of Equity and Efficiency," World Bank Research Observer, World Bank Group, vol. 1(1), pages 111-29, January.
  2. Smeeding, Timothy M, et al, 1993. "Poverty, Inequality, and Family Living Standards Impacts across Seven Nations: The Effect of Noncash Subsidies for Health, Education and Housing," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 39(3), pages 229-56, September.
  3. Manos Antoninis & Panos Tsakloglou, 2001. "Who Benefits from Public Education in Greece? Evidence and Policy Implications," Education Economics, Taylor & Francis Journals, vol. 9(2), pages 197-222.
  4. Antoninis, M. & Tsakloglou, P., 1997. "On the Distributional Impact of Public Education: Evidence from Greece," Athens University of Economics and Business 97-01, Athens University of Economics and Business, Department of International and European Economic Studies.
  5. Tsakloglou, Panos, 1993. "Aspects of inequality in Greece : Measurement, decomposition and intertemporal change: 1974, 1982," Journal of Development Economics, Elsevier, vol. 40(1), pages 53-74, February.
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  11. Tim Callan & Tim Smeeding & Panos Tsakloglou, 2007. "Distributional Effects of Public Education Transfers in Seven European Countries," Papers WP207, Economic and Social Research Institute (ESRI).
  12. Estelle James & Gail Benjamin, 1987. "Educational Distribution and Income Redistribution through Education in Japan," Journal of Human Resources, University of Wisconsin Press, vol. 22(4), pages 469-489.
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  17. Blackorby, Charles & Donaldson, David, 1980. "A Theoretical Treatment of Indices of Absolute Inequality," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 21(1), pages 107-36, February.
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Cited by:
  1. Tim Callan & Tim Smeeding & Panos Tsakloglou, 2007. "Distributional Effects of Public Education Transfers in Seven European Countries," Papers WP207, Economic and Social Research Institute (ESRI).
  2. Christos Koutsampelas & Panos Tsakloglou, 2012. "The distribution of full income in Greece," University of Cyprus Working Papers in Economics 03-2012, University of Cyprus Department of Economics.
  3. Christos Koutsampelas & Panos Tsakloglou, 2013. "The distribution of full income in Greece," International Journal of Social Economics, Emerald Group Publishing, vol. 40(4), pages 311-330, April.

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