This paper investigates the role of economic factors in the university enrollment decision for the post-war period in the Netherlands. We include those factors standing at the heart of the idea that education is an investment. Collecting student enrollment data for eight subject categories results in a large data set, as a cross-section dimension is added to the time-series. The econometric results suggest that students are not responsive to tuition fees, but financial support (the sum of loans and grants), the college premium on future labour market earnings, and the alternative wage are important in the enrollment decision.
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Paper provided by CPB Netherlands Bureau for Economic Policy Analysis in its series CPB Discussion Papers with number
12.
Find related papers by JEL classification: C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data D10 - Microeconomics - - Household Behavior - - - General I20 - Health, Education, and Welfare - - Education - - - General
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