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Access All Areas? The Impact of Fees and Background on Student Demand for Postgraduate Higher Education in the UK

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  • Philip Wales

Abstract

This paper analyses participation in postgraduate higher education in the UK at the micro-level makes several contributions to the literature. Firstly, it describes trends in postgraduate participation in the UK. Secondly, it introduces a hitherto unavailable dataset of postgraduate tuition fees by institution and subject: the first of its kind. Thirdly, it attempts to control for several potential forms of endogeneity to assess the extent to which tuition fees affect demand. It adopts an instrumental variables approach to partially control for the potential endogeneity of tuition fees and includes a broad array of fixed effects to mitigate the impact of sorting into universities and endogenous residential selection. The results suggest that (1) there is substantial variation in tuition fees across and within institutions and that (2) tuition fees reduce demand for postgraduate places. In our preferred specification a 10% increase in tuition fees reduces the probability of progression by 1.7%.

Suggested Citation

  • Philip Wales, 2013. "Access All Areas? The Impact of Fees and Background on Student Demand for Postgraduate Higher Education in the UK," SERC Discussion Papers 0128, Spatial Economics Research Centre, LSE.
  • Handle: RePEc:cep:sercdp:0128
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    References listed on IDEAS

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    More about this item

    Keywords

    Education; human capital; skills; consumer economics: empirical analysis;

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • I2 - Health, Education, and Welfare - - Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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