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Financing Bologna Students' Mobility

Author

Listed:
  • Marcel Gerard

    () (FuCAm, UCLouvain)

Abstract

The current system for financing cross-border students, based on the host country, is neither sustainable nor efficient: it produces too little cross-border education. On that background, and motivated as well by a recent decision of the European Court of Justice, we explore two alternative solutions. the first one substitutes to the financing by the host country, a financing by the country of origin, through vouchers that the student may use at home or abroad provided it is in a recognized institution. The second one, potentially an efficient design, combines that substitution with a reimbursement of education costs through interjurisdictional transfers or the change of vouchers into contingent loans

Suggested Citation

  • Marcel Gerard, 2010. "Financing Bologna Students' Mobility," Taxation Papers 26, Directorate General Taxation and Customs Union, European Commission.
  • Handle: RePEc:tax:taxpap:0026
    as

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    File URL: https://ec.europa.eu/taxation_customs/sites/taxation/files/resources/documents/taxation/gen_info/economic_analysis/tax_papers/taxation_paper_26_en.pdf
    File Function: final version, 2010
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    References listed on IDEAS

    as
    1. Kemnitz, Alexander, 2005. "Educational Federalism and the Quality Effects of Tuition Fees," Discussion Papers 617, Institut fuer Volkswirtschaftslehre und Statistik, Abteilung fuer Volkswirtschaftslehre.
    2. Panu Poutvaara & Vesa Kanniainen, 2000. "Why Invest in Your Neighbor? Social Contract on Educational Investment," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 7(4), pages 547-562, August.
    3. Lydia Mechtenberg & Roland Strausz, 2008. "The Bologna process: how student mobility affects multi-cultural skills and educational quality," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 15(2), pages 109-130, April.
    4. Justman, Moshe & Thisse, Jacques-Francois, 1997. "Implications of the mobility of skilled labor for local public funding of higher education," Economics Letters, Elsevier, vol. 55(3), pages 409-412, September.
    5. Moshe Justman & Jacques-Francois Thisse, 2000. "Local Public Funding of Higher Education When Skilled Labor is Imperfectly Mobile," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 7(3), pages 247-258, May.
    6. Marcel Gérard, 2010. "Le financement de la mobilité des étudiants « Bologne »," Revue économique, Presses de Sciences-Po, vol. 61(3), pages 577-587.
    7. Haupt, Alexander & Krieger, Tim & Lange, Thomas, 2010. "Competition for the International Pool of Talents : Education Policy with Student Mobility," CCES Discussion Paper Series 31, Center for Research on Contemporary Economic Systems, Graduate School of Economics, Hitotsubashi University.
    8. Marcel Gerard, 2007. "Financing Bologna: Which Country will Pay for Foreign Students?," Education Economics, Taylor & Francis Journals, vol. 15(4), pages 441-454.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Bologna process; Higher Education; Contingent loan; Bhagwati tax;

    JEL classification:

    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism

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