IDEAS home Printed from https://ideas.repec.org/a/aea/aejpol/v11y2019i1p317-50.html

The Out-of-State Tuition Distortion

Author

Listed:
  • Brian Knight
  • Nathan Schiff

Abstract

Public universities typically charge much higher tuition to nonresidents. We first investigate the welfare implications of this tuition gap in a simple model. While the social planner does not distinguish between residents and nonresidents, state governments set higher tuition for nonresidents. The welfare gains from reducing the tuition gap can be characterized by a sufficient statistic relating out-of-state enrollment to the tuition gap. We estimate this sufficient statistic via a border discontinuity design using data on the geographic distribution of students by institution.

Suggested Citation

  • Brian Knight & Nathan Schiff, 2019. "The Out-of-State Tuition Distortion," American Economic Journal: Economic Policy, American Economic Association, vol. 11(1), pages 317-350, February.
    • Handle: RePEc:aea:aejpol:v:11:y:2019:i:1:p:317-50
    Note: DOI: 10.1257/pol.20170499
    as

    Download full text from publisher

    File URL: https://www.aeaweb.org/doi/10.1257/pol.20170499
    Download Restriction: no
    File URL: https://www.aeaweb.org/content/file?id=8900
    Download Restriction: no
    File URL: https://www.aeaweb.org/articles/attachments?retrieve=-_a1Cv4ExgU9y3RvCsErKW_Y3g_q9FOi
    Download Restriction: no
    File URL: https://www.aeaweb.org/articles/attachments?retrieve=NUurzr1B9dXJlHLTjbD0WcKFl5GdBTTO
    Download Restriction: Access to full text is restricted to AEA members and institutional subscribers.
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Machado, Cecilia & Szerman, Christiane, 2021. "Centralized college admissions and student composition," Economics of Education Review, Elsevier, vol. 85(C).
    2. Bo Zhao, 2019. "Consequences of state disinvestment in public higher education: lessons for the New England states," New England Public Policy Center Research Report 19-1, Federal Reserve Bank of Boston.
    3. Bo Zhao, 2018. "Disinvesting in the future?: a comprehensive examination of the effects of state appropriations for public higher education," Working Papers 18-1, Federal Reserve Bank of Boston.
    4. Cook, Nikolai, 2024. "Increasing student access through aid: Differences in difference-in-differences estimates," Economics Letters, Elsevier, vol. 238(C).
    5. Brian Knight & Nathan Schiff, 2022. "Reducing Frictions in College Admissions: Evidence from the Common Application," American Economic Journal: Economic Policy, American Economic Association, vol. 14(1), pages 179-206, February.

    More about this item

    JEL classification:

    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aea:aejpol:v:11:y:2019:i:1:p:317-50. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Michael P. Albert (email available below). General contact details of provider: https://edirc.repec.org/data/aeaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.