Rising Tuition and Enrollment in Public Higher Education
In this paper we review recent trends in tuition at public universities and estimate impacts on enrollment. We use data from the Integrated Postsecondary Education Data System on all public four-year colleges and universities from 1991 to 2007 and illustrate that tuition increased dramatically beginning in the early part of this decade, increasing at rates unprecedented in the past half century. We examine impacts of these tuition increases on total enrollment and credit hours, and estimate differences by type of institution. We estimate that the average tuition and fee elasticity of total headcount is -0.1072. So, at the mean a $100 increase in tuition and fees (in 2006 dollars) would lead to a decline in enrollment of a little more than 0.25 percent, with larger effects at Research I universities. We find no evidence that especially large increases from one year to the next have a disproportionately large negative effect on enrollment.
|Date of creation:||Nov 2008|
|Date of revision:|
|Publication status:||published in: Educational Evaluation and Policy Analysis, 2011, 33 (4), 435-457|
|Contact details of provider:|| Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany|
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
|Order Information:|| Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany|
References listed on IDEAS
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.:
- Lowry, Robert C., 2001. "The effects of state political interests and campus outputs on public university revenues," Economics of Education Review, Elsevier, vol. 20(2), pages 105-119, April.
- Rajindar Koshal & Manjulika Koshal, 2000. "State Appropriation and Higher Education Tuition: What is the relationship?," Education Economics, Taylor & Francis Journals, vol. 8(1), pages 81-89.
- Susan M. Dynarski & Judith E. Scott-Clayton, 2006.
"The Cost of Complexity in Federal Student Aid: Lessons from Optimal Tax Theory and Behavioral Economics,"
NBER Working Papers
12227, National Bureau of Economic Research, Inc.
- Dynarski, Susan M. & Scott–Clayton, Judith E., 2006. "The Cost of Complexity in Federal Student Aid: Lessons from Optimal Tax Theory and Behavioral Economics," National Tax Journal, National Tax Association, vol. 59(2), pages 319-56, June.
- Dynarski, Susan & Scott-Clayton, Judith, 2006. "The Cost of Complexity in Federal Student Aid: Lessons from Optimal Tax Theory and Behavioral Economics," Working Paper Series rwp06-013, Harvard University, John F. Kennedy School of Government.
- Michael Rizzo & Ronald G. Ehrenberg, 2004.
"Resident and Nonresident Tuition and Enrollment at Flagship State Universities,"
in: College Choices: The Economics of Where to Go, When to Go, and How to Pay For It, pages 303-354
National Bureau of Economic Research, Inc.
- Michael J. Rizzo & Ronald G. Ehrenberg, 2003. "Resident and Nonresident Tuition and Enrollment at Flagship State Universities," NBER Working Papers 9516, National Bureau of Economic Research, Inc.
- Monks, James, 2004. "An Empirical Examination of the Impact of College Financial Aid on Family Savings," National Tax Journal, National Tax Association, vol. 57(2), pages 189-207, June.
- Bound, John & Turner, Sarah, 2007.
"Cohort crowding: How resources affect collegiate attainment,"
Journal of Public Economics,
Elsevier, vol. 91(5-6), pages 877-899, June.
- John Bound & Sarah Turner, 2006. "Cohort Crowding: How Resources Affect Collegiate Attainment," NBER Working Papers 12424, National Bureau of Economic Research, Inc.
- Johnstone, D. Bruce, 2004. "The economics and politics of cost sharing in higher education: comparative perspectives," Economics of Education Review, Elsevier, vol. 23(4), pages 403-410, August.
- Thomas J. Kane, 1995. "Rising Public College Tuition and College Entry: How Well Do Public Subsidies Promote Access to College?," NBER Working Papers 5164, National Bureau of Economic Research, Inc.
- Long, Mark, 2004. "The impact of asset-tested college financial aid on household savings," Journal of Public Economics, Elsevier, vol. 88(1-2), pages 63-88, January.
When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp3827. 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: (Mark Fallak)
If references are entirely missing, you can add them using this form.