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The Effect of University Openings on Local Human Capital Formation: Difference-in-Differences Evidence from Germany

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  • Benedikt Siegler
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    Abstract

    Between 1960 and 1979, 93 new universities opened in Germany. Using this large tertiary education expansion, I estimate the effect of a university opening on the probability of obtaining a university degree in the local population. I exploit the geographical variation in local university access in a difference-in-differences approach by comparing age cohorts in counties that were and were not affected by the opening. Results show that a new university increases the share of university graduates in a county by 8 to 10 percentage points. The effect seems to be mainly driven my females and immigrants.

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    File URL: http://www.bgpe.de/texte/DP/124_Siegler.pdf
    File Function: First version, 2012
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    Bibliographic Info

    Paper provided by Bavarian Graduate Program in Economics (BGPE) in its series Working Papers with number 124.

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    Length: 39 pages
    Date of creation: Aug 2012
    Date of revision:
    Handle: RePEc:bav:wpaper:124_siegler

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    Web page: http://www.bgpe.de/
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    Related research

    Keywords: tertiary education; education expansion; difference-in-differences; natural experiment; new university opening;

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