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Are The Elderly A Threat To Educational Expenditures?

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  • Alejandra Cattaneo

    ()
    (Socioeconomic Institute, University of Zurich)

  • Stefan C. Wolter

    ()
    (Institute of Economics, University of Berne)

Abstract

Empirical research has given cause to fear that the demographic ageing in industrialized countries is likely to exert a negative impact on educational spending. These papers have linked the share of the elderly with the per capita or per pupil spending on education at the local, state-wide or national level, trying to control for other exogenous effects. Although this line of research shows in many cases a negative correlation between the shares of elderly people and educational expenditures, a causal link is difficult to prove. This paper uses a unique and representative survey of Swiss voters of all age groups. The analysis shows that elderly people present a clear tendency to be less willing to spend money on education. They would rather prefer to spend public resources on health and social security than on education. Furthermore the paper shows that much of the negative correlation between the shares of elderly and educational spending is the result of the elderly being politically more conservative and in general less inclined to pay for expenditures in the public sector as a whole.

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Bibliographic Info

Paper provided by University of Zurich, Institute for Strategy and Business Economics (ISU) in its series Economics of Education Working Paper Series with number 0003.

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Length: 27 pages
Date of creation: 2007
Date of revision:
Handle: RePEc:iso:educat:0003

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Keywords: public finance; education finance; demographics; survey; Switzerland;

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References

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Citations

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Cited by:
  1. Eric J. Brunner & Stephen L. Ross & Rebecca K. Simonsen, 2013. "Homeowners, Renters and the Political Economy of Property Taxation," Working papers 2013-30, University of Connecticut, Department of Economics.
  2. Joern Rattsoe & Rune J. Soerensen, 2009. "Grey power and public budgets: Family altruism helps children, but not elderly," Working Paper Series 10009, Department of Economics, Norwegian University of Science and Technology.
  3. Rattsø, Jørn & Sørensen, Rune J., 2010. "Grey power and public budgets: Family altruism helps children, but not the elderly," European Journal of Political Economy, Elsevier, vol. 26(2), pages 222-234, June.
  4. Tim Krieger & Jens Ruhose, 2011. "“Honey, I shrunk the kids’ benefits!” — Revisiting intergenerational conflict in OECD countries," Working Papers CIE 46, University of Paderborn, CIE Center for International Economics.
  5. Estevan, Fernanda, 2013. "The impact of conditional cash transfers on public education expenditures: A political economy approach," European Journal of Political Economy, Elsevier, vol. 32(C), pages 268-284.
  6. Sørensen, Rune J., 2013. "Does aging affect preferences for welfare spending? A study of peoples' spending preferences in 22 countries, 1985–2006," European Journal of Political Economy, Elsevier, vol. 29(C), pages 259-271.
  7. Tetsuo Ono, 2013. "Public Education and Social Security: A Political Economy Approach," Discussion Papers in Economics and Business 13-06-Rev, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP), revised Sep 2013.
  8. Busemeyer, Marius R. & Cattaneo, Maria Alejandra & Wolter, Stefan C., 2010. "Individual policy preferences for vocational versus academic education micro level evidence for the case of Switzerland," MPIfG Discussion Paper 10/11, Max Planck Institute for the Study of Societies.
  9. Chantal Oggenfuss & Stefan C. Wolter, 2014. "Are the education policy preferences of teachers just a reflection of their occupational concerns?," Economics of Education Working Paper Series 0101, University of Zurich, Institute for Strategy and Business Economics (ISU).
  10. Uschi Backes-Gellner & Johannes Mure, 2008. "The Swiss Leading House on Economics of Education, Firm Behaviour and Training Policies," Economics of Education Working Paper Series 0014, University of Zurich, Institute for Strategy and Business Economics (ISU).
  11. Anna Montén & Marcel Thum, 2008. "Ageing Municipalities, Gerontocracy and Fiscal Competition," CESifo Working Paper Series 2469, CESifo Group Munich.
  12. repec:pdn:wpaper:46 is not listed on IDEAS
  13. Michael Berlemann & Marco Oestmann & Marcel Thum, 2010. "Demographic Change and Bank Profitability. Empirical Evidence from German Savings Banks," CESifo Working Paper Series 2911, CESifo Group Munich.
  14. Nguyen-Hoang, Phuong, 2013. "Tax Limit Repeal And School Spending," National Tax Journal, National Tax Association, vol. 66(1), pages 117-48, March.
  15. Tetsuo Ono, 2013. "Public Education and Social Security: A Political Economy Approach," Discussion Papers in Economics and Business 13-06, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP).

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