Educational Federalism and the Quality Effects of Tuition Fees
This paper investigates how the abolishment of a ban on tuition fees affects the quality of higher education with centralized and decentralized decision making. It is shown that a marginal introduction of tuition fees fully crowds out public funds under centralization, whereas educational quality improves under decentralization. However, if the government has full discretion about the tuition fee level, centralization leads to the efficient quality, fully extracting the income gains from the graduates, while decentralization typically induces inefficiently low spending levels.
|Date of creation:||2010|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: +49 (89) 9224-0
Fax: +49 (89) 985369
Web page: http://www.cesifo.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Moshe Justman & Jacques-Francois Thisse, 2000.
"Local Public Funding of Higher Education When Skilled Labor is Imperfectly Mobile,"
International Tax and Public Finance,
Springer, vol. 7(3), pages 247-258, May.
- JUSTMAN , Moshe & THISSE, Jacques-FranÃ§ois, . "Local public funding of higher education when skilled labor is imperfectly mobile," CORE Discussion Papers RP 1460, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Poutvaara, Panu, 2001.
"Alternative tax constitutions and risky education in a federation,"
Regional Science and Urban Economics,
Elsevier, vol. 31(2-3), pages 355-377, April.
- Poutvaara, Panu, 2001. "Alternative tax constitutions and risky education in a federation," Munich Reprints in Economics 19302, University of Munich, Department of Economics.
- David E. Wildasin, 2000. "Labor-Market Integration, Investment in Risky Human Capital, and Fiscal Competition," American Economic Review, American Economic Association, vol. 90(1), pages 73-95, March.
- Andersson, Fredrik & Konrad, Kai A., 2001.
"Human Capital Investment and Globalization in Extortionary States,"
IZA Discussion Papers
239, Institute for the Study of Labor (IZA).
- Andersson, Fredrik & Konrad, Kai A., 2003. "Human capital investment and globalization in extortionary states," Journal of Public Economics, Elsevier, vol. 87(7-8), pages 1539-1555, August.
- Fredrik Andersson & Kai A. Konrad, 2002. "Human Capital Investment and Globalization in Extortionary States," CESifo Working Paper Series 703, CESifo Group Munich.
- Andersson, Fredrik & Konrad, Kai A., 2002.
"Human capital investment and globalization in extortionary states
[Humankapitalinvestitionen und Globalisierung in Ausbeutungsstaaten]," Discussion Papers, Research Unit: Market Processes and Governance FS IV 02-01, Social Science Research Center Berlin (WZB).
- Soares, Jorge, 2005. "Public education reform: Community or national funding of education?," Journal of Monetary Economics, Elsevier, vol. 52(3), pages 669-697, April.
- Bevia, Carmen & Iturbe-Ormaetxe, Inigo, 2002.
" Redistribution and Subsidies for Higher Education,"
Scandinavian Journal of Economics,
Wiley Blackwell, vol. 104(2), pages 321-40, June.
- Iñigo Iturbe Ormaetxe & Carmen Beviá, 2000. "Redistribution And Subsidies For Higher Education," Working Papers. Serie AD 2000-15, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
- Carmen Bevia & I?go Iturbe-Ormaetxe, . "Redistribution and Subsidies for Higher Education," UFAE and IAE Working Papers 475.01, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- Panu Poutvaara, 2004.
CESifo Working Paper Series
1114, CESifo Group Munich.
- Ludger Woessmann, 2006.
"Efficiency and Equity of European Education and Training Policies,"
CESifo Working Paper Series
1779, CESifo Group Munich.
- Ludger Wößmann, 2008. "Efficiency and equity of European education and training policies," International Tax and Public Finance, Springer, vol. 15(2), pages 199-230, April.
- Wößmann, Ludger, 2008. "Efficiency and equity of European education and training policies," Munich Reprints in Economics 19667, University of Munich, Department of Economics.
- Frederick van der Ploeg, 2008. "Towards Evidence-based Reform of European Universities," CESifo Economic Studies, CESifo, vol. 54(2), pages 99-120, June.
- Frank Kupferschmidt & Berthold U. Wigger, 2006. "Öffentliche versus private Finanzierung der Hochschulbildung: Effizienz- und Verteilungsaspekte," Perspektiven der Wirtschaftspolitik, Verein für Socialpolitik, vol. 7(2), pages 285-307, 05.
- Poutvaara, Panu, 2004. "Educating Europe: Should Public Education be Financed with Graduate Taxes or Income-contingent Loans?," Munich Reprints in Economics 19296, University of Munich, Department of Economics.
- von Weizsäcker, Robert K & Wigger, Berthold, 1998. "Risk, Resources and Education," CEPR Discussion Papers 1808, C.E.P.R. Discussion Papers.
- Panu Poutvaara & Vesa Kanniainen, 2000.
"Why Invest in Your Neighbor? Social Contract on Educational Investment,"
International Tax and Public Finance,
Springer, vol. 7(4), pages 547-562, August.
- Poutvaara, Panu & Kanniainen, Vesa, 2000. "Why invest in your neighbor? Social contract on educational investment," Munich Reprints in Economics 19797, University of Munich, Department of Economics.
- Besley, Timothy & Coate, Stephen, 2003. "Centralized versus decentralized provision of local public goods: a political economy approach," Journal of Public Economics, Elsevier, vol. 87(12), pages 2611-2637, December.
- De Fraja, Gianni, 2001. "Education Policies: Equity, Efficiency and Voting Equilibrium," Economic Journal, Royal Economic Society, vol. 111(471), pages C104-19, May.
- Garcia-Penalosa, Cecilia & Walde, Klaus, 2000. "Efficiency and Equity Effects of Subsidies to Higher Education," Oxford Economic Papers, Oxford University Press, vol. 52(4), pages 702-22, October.
- Gradstein, Mark & Justman, Moshe, 1995. "Competitive investment in higher education: The need for policy coordination," Economics Letters, Elsevier, vol. 47(3-4), pages 393-400, March.
- Somanathan, Rohini, 1998. "School heterogeneity, human capital accumulation, and standards," Journal of Public Economics, Elsevier, vol. 67(3), pages 369-397, March.
- Creedy, John & Francois, Patrick, 1990. "Financing higher education and majority voting," Journal of Public Economics, Elsevier, vol. 43(2), pages 181-200, November.
When requesting a correction, please mention this item's handle: RePEc:ces:ceswps:_3193. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Julio Saavedra)
If references are entirely missing, you can add them using this form.