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Family Income and Tertiary Education Attendance across the EU: An empirical assessment using sibling data

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  • Vincent Vandenberghe

Abstract

There is plenty of evidence across the EU to suggest that young people from poorer backgrounds are less likely to attend tertiary education than their better-off peers. This correlation is often used to justify monetary transfers to families with students. It is not clear, however, that these differences in attendance are caused by income itself rather than by parental ability, motivation, education, and other aspects of the young person's experience which differ between families, but are not a direct result of income. Controlling for observable family characteristics is a useful first step. But further developments are needed as families potentially differ in unobservable ways that are correlated with both income and attendance. In this paper we use families with several children to correct for unobserved time-invariant family fixed effects. Our results suggest the absence of parental income effects in Belgium and Germany, small positive effects in Poland, medium-size positive effect in the UK, and sizeable positive effects in Hungary.

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File URL: http://sticerd.lse.ac.uk/dps/case/cp/CASEpaper123.pdf
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Bibliographic Info

Paper provided by Centre for Analysis of Social Exclusion, LSE in its series CASE Papers with number /123.

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Date of creation: Jun 2007
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Handle: RePEc:cep:sticas:/123

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Web page: http://sticerd.lse.ac.uk/case/_new/publications/default.asp

Related research

Keywords: Tertiary education attendance; parental income; liquidity constraints;

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  1. Carneiro, Pedro & Heckman, James J., 2002. "The Evidence on Credit Constraints in Post-Secondary Schooling," IZA Discussion Papers 518, Institute for the Study of Labor (IZA).
  2. V. Vandenberghe & O. Debande, 2007. "Deferred and Income-contingent Tuition Fees: An Empirical Assessment using Belgian, German and UK Data," Education Economics, Taylor & Francis Journals, vol. 15(4), pages 421-440.
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Cited by:
  1. Margarida Chagas Lopes & Graça Leão Fernandes, 2012. "A comprehensive approach towards academic failure: the case of Mathematics I in ISEG graduation," Working Papers wp062012, Socius, Socio-Economics Research Centre at the School of Economics and Management (ISEG) of the Technical University of Lisbon.
  2. Chaga Lopes, Margarida & Fernandes, Graca, 2010. "Success/Failure in Higher Education:how long does it take to complete some core 1st. year disciplines?," MPRA Paper 21953, University Library of Munich, Germany.

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