This paper shows that reverse discrimination policies can find a justification purely on efficiency grounds. We study the optimal provision of education when households belong to different groups, differing in the distribution of the potential to benefit from education among individuals, which is private information. The main result is that the high potential individuals from groups with relatively few high potential individuals should receive more education than otherwise identical individuals from groups with a more favourable distribution of these benefits.
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Paper provided by Tor Vergata University, CEIS in its series CEIS Research Paper with number
38.
Length: 27 Date of creation: 19 Oct 2003 Date of revision: Handle: RePEc:rtv:ceisrp:38
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Find related papers by JEL classification: I28 - Health, Education, and Welfare - - Education - - - Government Policy D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
Hanushek, Eric A., 2002.
"Publicly provided education,"
Handbook of Public Economics,
in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 4, chapter 30, pages 2045-2141
Elsevier.
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