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University merging process: a guideline proposal for excellence-enhancing

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  • Marisa Hidalgo-Hidalgo

    (Department of Economics, Universidad Pablo de Olavide)

  • Guadalupe Valera

    (Department of Economics, Universidad Pablo de Olavide)

Abstract

There is a recent trend toward encouraging universities to merge. This policy is based on the idea that mergers create synergy gains that enhance the prestige of universities by increasing their international visibility. However, this process may reduce competition for both research funds and professors in national higher education markets. This paper analyses whether mergers among universities are optimal from an excellence perspective. We find that the higher the heterogeneity between the initial reputations of potentially merging institutions, the greater the amount of funds required for mergers to achieve higher excellence than competition.

Suggested Citation

  • Marisa Hidalgo-Hidalgo & Guadalupe Valera, 2016. "University merging process: a guideline proposal for excellence-enhancing," Working Papers 16.08, Universidad Pablo de Olavide, Department of Economics.
  • Handle: RePEc:pab:wpaper:16.08
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    References listed on IDEAS

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    More about this item

    Keywords

    Higher Education; Economics of Science; University Competition; University Mergers;
    All these keywords.

    JEL classification:

    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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