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Competition for the International Pool of Talent: Education Policy and Student Mobility

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  • Krieger, Tim
  • Haupt, Alexander M.
  • Lange, Thomas

Abstract

The paper presents a model of two countries competing for the international pool of talented students from the rest of the world. To relax tuition-fee competition, countries differentiate their education systems in equilibrium, albeit inefficiently. One country offers high educational quality at high tuition fees and attracts the brightest students; the other country provides lower quality and charges lower fees. Recent developments, such as an increasing number of international students or growing graduate incomes in developing countries, widen the gap between education systems. Furthermore, educational competition among developed countries provides scope for a qualitative brain gain in less developed countries. --

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Bibliographic Info

Paper provided by Verein für Socialpolitik, Research Committee Development Economics in its series Proceedings of the German Development Economics Conference, Berlin 2011 with number 49.

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Date of creation: 2011
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Handle: RePEc:zbw:gdec11:49

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Keywords: Higher education; student mobility; vertical quality differentiation; return migration; brain gain;

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References

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  1. repec:pdn:wpaper:27 is not listed on IDEAS
  2. Thomas Lange, 2009. "Public Funding of Higher Education when Students and Skilled Workers are Mobile," FinanzArchiv: Public Finance Analysis, Mohr Siebeck, Tübingen, vol. 65(2), pages 178-199, June.
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  7. Tim Krieger & Thomas Lange, 2008. "Education policy and tax competition with imperfect student and labor mobility," Working Papers CIE 8, University of Paderborn, CIE Center for International Economics.
  8. Alexander Haupt & Tim Krieger & Thomas Lange, 2010. "A Note on Brain Gain and Brain Drain: Permanent Migration and Education Policy," CESifo Working Paper Series 3154, CESifo Group Munich.
  9. Lisa Grazzini & Annalisa Luporini & Alessandro Petretto, 2011. "Competition between State Universities," CESifo Working Paper Series 3373, CESifo Group Munich.
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  12. Gabrielle Demange & Robert Fenge, 2010. "Competition in the quality of higher education: the impact of students' mobility," PSE Working Papers halshs-00564912, HAL.
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  17. Baruch, Yehuda & Budhwar, Pawan S. & Khatri, Naresh, 2007. "Brain drain: Inclination to stay abroad after studies," Journal of World Business, Elsevier, vol. 42(1), pages 99-112, March.
  18. Marcel Gerard, 2007. "Financing Bologna: Which Country will Pay for Foreign Students?," Education Economics, Taylor & Francis Journals, vol. 15(4), pages 441-454.
  19. Shaked, Avner & Sutton, John, 1982. "Relaxing Price Competition through Product Differentiation," Review of Economic Studies, Wiley Blackwell, vol. 49(1), pages 3-13, January.
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  23. repec:pse:psecon:2010-27 is not listed on IDEAS
  24. Haupt, Alexander & Krieger, Tim & Lange, Thomas, 2010. "Competition for the International Pool of Talents : Education Policy with Student Mobility," CCES Discussion Paper Series 31, Center for Research on Contemporary Economic Systems, Graduate School of Economics, Hitotsubashi University.
  25. repec:hal:wpaper:halshs-00564912 is not listed on IDEAS
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Cited by:
  1. Marina Murat, 2013. "Education ties and investments abroad. Empirical evidence from the US and UK," Center for Economic Research (RECent) 091, University of Modena and Reggio E., Dept. of Economics.

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