AbstractThe mobility of labor reduces national incentives to invest in internationally applicable education. Such effects may be especially severe for the prospective new member states of the European Union. The European Union could overcome this by allowing countries to institute graduate taxes or income-contingent loans, collected also from migrants. This paper presents calculations on how such a system could look like for Finland, as well as discusses its implementation. Such contracts could be voluntary, education financed publicly only for those accepting also to share the returns. With EU enlargement, such reforms could generate a triple dividend.
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Bibliographic InfoPaper provided by EconWPA in its series Public Economics with number 0302008.
Length: 37 pages
Date of creation: 18 Feb 2003
Date of revision:
Note: Type of Document - Pdf; prepared on IBM PC ; to print on Xerox3N1; pages: 37 ; figures: none. Available also as CEBR DP 2003-01
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graduate taxes; European Union; individual accounts; income- contingent loans; migration;
Other versions of this item:JEL classification:
- H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
- H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
- I28 - Health, Education, and Welfare - - Education - - - Government Policy
- F22 - International Economics - - International Factor Movements and International Business - - - International Migration
This paper has been announced in the following NEP Reports:
- NEP-ALL-2003-02-24 (All new papers)
- NEP-EEC-2003-02-24 (European Economics)
- NEP-PUB-2003-02-24 (Public Finance)
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