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Public education spending in a globalized world:

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  • Thushyanthan Baskaran

    ()

  • Zohal Hessami

    ()

Abstract

This paper studies the effect of globalization on public expenditures allocated to different stages of education. First, we derive theoretically that globalization’s influence on education expenditures depends on the type of government. For benevolent governments, the model suggests that expenditures for higher education will increase and expenditures for basic education will decline with deepening economic integration. For Leviathan governments, on the other hand, the effects of globalization on public education spending cannot be unambiguously predicted. In the second part of the paper, we empirically analyze globalization’s influence on primary, secondary, and tertiary education expenditures with panel data covering 104 countries over the 1992–2006 period. The results indicate that globalization has led in both industrialized and developing countries to more spending for secondary and tertiary and to less spending for primary education. Copyright Springer Science+Business Media, LLC 2012

Suggested Citation

  • Thushyanthan Baskaran & Zohal Hessami, 2012. "Public education spending in a globalized world:," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 19(5), pages 677-707, October.
  • Handle: RePEc:kap:itaxpf:v:19:y:2012:i:5:p:677-707
    DOI: 10.1007/s10797-011-9202-z
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Niklas Potrafke, 2015. "The Evidence on Globalisation," The World Economy, Wiley Blackwell, vol. 38(3), pages 509-552, March.
    2. Zohal Hessami & Thushyanthan Baskaran, 2015. "Has Globalisation Affected Collective Bargaining? An Empirical Test, 1980–2009," The World Economy, Wiley Blackwell, vol. 38(12), pages 1880-1911, December.
    3. Gralka, Sabine, 2016. "Persistent inefficiency in the higher education sector: Evidence from Germany," CEPIE Working Papers 06/16, Technische Universität Dresden, Center of Public and International Economics (CEPIE).

    More about this item

    Keywords

    Globalization; Economic integration; Public education; Education expenditures; F15; H42; H52;

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education

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