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Free Movement of Workers and Native Demand for Tertiary Education

Author

Listed:
  • Mirjam Bächli
  • Teodora Tsankova

Abstract

We investigate how natives’ demand for tertiary education responds to a reform that relaxed employment restrictions for foreign workers in Switzerland. The policy change led to a sharp increase in cross-border commuting into Swiss areas close to the border. We find that enrollment in universities with a focus on applied studies rises in affected commuting zones, and this increase is driven by natives with a vocational background. Enrollment rises mostly in non-STEM fields that foster skills less transferable across countries. We show that enrollment results are consistent with a rising wage premium for tertiary non-STEM degrees.

Suggested Citation

  • Mirjam Bächli & Teodora Tsankova, 2025. "Free Movement of Workers and Native Demand for Tertiary Education," Journal of Human Resources, University of Wisconsin Press, vol. 60(6), pages 2038-2070.
    • Handle: RePEc:uwp:jhriss:v:60:y:2025:i:6:p:2038-2070
    Note: DOI: https://doi.org/10.3368/jhr.0721-11805R2
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    File URL: http://jhr.uwpress.org/cgi/reprint/60/6/2038
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    More about this item

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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