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Reversing the Balance Wheel Principle

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Author Info
Orkodashvili, Mariam

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Abstract

The paper discusses funding principles and policies of higher education during the recession period. The role of state appropriations for the viability of public higher education institutions is emphasized. State funding affecting institutional behaviour is another issue raised. The paper analyzes the possibility of expanding state funding for higher education institutions instead of cutting during economic recession. The examples of Midwestern states is discussed for this purpose. Funding higher education institutions is perceived as an important component of the process of investing in human capital. Referring to scholarly findings, Leader-Laggard Model and Event History Analysis are suggested as optimal methods for evaluating the implementation of new policies as they spread from one state to another.

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File URL: http://mpra.ub.uni-muenchen.de/16401/
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File URL: http://mpra.ub.uni-muenchen.de/16418/
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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 16401.

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Date of creation: 17 Dec 2008
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Handle: RePEc:pra:mprapa:16401

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Related research
Keywords: higher education funding; state appropriations; balance wheel; institutional behaviour; quality; performance funding; human capital; Event History Analysis; Leader-Laggard Model.;

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Find related papers by JEL classification:
R58 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Regional Development Policy
A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
A23 - General Economics and Teaching - - Economic Education and Teaching of Economics - - - Graduate
A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines

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  1. Michael Rizzo & Ronald G. Ehrenberg, 2004. "Resident and Nonresident Tuition and Enrollment at Flagship State Universities," NBER Chapters, in: College Choices: The Economics of Where to Go, When to Go, and How to Pay For It, pages 303-354 National Bureau of Economic Research, Inc. [Downloadable!]
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