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Postsecondary Education Structure

States differ substantially in the structures of their public four-year university systems. This paper uses micro-level data to evaluate the effects of postsecondary education structure on individuals’ educational and labor-market outcomes. Postsecondary education structure affects whether individuals attend universities at all, whether they attend public or private universities, and whether they attend large or small universities. Individuals who are exposed to more-fractionalized structures are adversely affected in the labor market. In conjunction with evidence that it is more expensive to educate students at smaller universities, this latter result suggests that states with more-fractionalized postsecondary education structures should look to consolidate their resources into fewer, larger universities.

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Paper provided by Department of Economics, University of Missouri in its series Working Papers with number 0906.

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Length: 32 pgs.
Date of creation: 03 Jul 2009
Date of revision: 04 Oct 2010
Handle: RePEc:umc:wpaper:0906
Note: Originally submitted as: Postsecondary Education Structure and Human Capital Production
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  1. 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.
  2. Katz, L.F. & Murphy, K.M., 1991. "Changes in Relative Wages, 1963-1987: Supply and Demand Factors," Harvard Institute of Economic Research Working Papers 1580, Harvard - Institute of Economic Research.
  3. Johnson, George E, 1984. "Subsidies for Higher Education," Journal of Labor Economics, University of Chicago Press, vol. 2(3), pages 303-18, July.
  4. Long, Mark C., 2008. "College quality and early adult outcomes," Economics of Education Review, Elsevier, vol. 27(5), pages 588-602, October.
  5. David Card, 1993. "Using Geographic Variation in College Proximity to Estimate the Return to Schooling," Working Papers 696, Princeton University, Department of Economics, Industrial Relations Section..
  6. Loury, Linda Datcher & Garman, David, 1995. "College Selectivity and Earnings," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 289-308, April.
  7. Card, David, 1999. "The causal effect of education on earnings," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 30, pages 1801-1863 Elsevier.
  8. John Bound & Sarah Turner, 2006. "Cohort Crowding: How Resources Affect Collegiate Attainment," NBER Working Papers 12424, National Bureau of Economic Research, Inc.
  9. Buchinsky, Moshe, 1994. "Changes in the U.S. Wage Structure 1963-1987: Application of Quantile Regression," Econometrica, Econometric Society, vol. 62(2), pages 405-58, March.
  10. Stacy Berg Dale & Alan Krueger, 1998. "Estimating the Payoff to Attending a More Selective College: An Application of Selection on Observables and Unobservables," Working Papers 788, Princeton University, Department of Economics, Industrial Relations Section..
  11. Frenette, Marc, 2009. "Do universities benefit local youth? Evidence from the creation of new universities," Economics of Education Review, Elsevier, vol. 28(3), pages 318-328, June.
  12. Dominic J. Brewer & Eric Eide & Ronald G. Ehrenberg, 1996. "Does It Pay To Attend An Elite Private College? Cross Cohort Evidence on the Effects of College Quality on Earnings," NBER Working Papers 5613, National Bureau of Economic Research, Inc.
  13. DANIEL P. McMILLEN & LARRY D. SINGELL & GLEN R. WADDELL, 2007. "Spatial Competition And The Price Of College," Economic Inquiry, Western Economic Association International, vol. 45(4), pages 817-833, October.
  14. Dan A. Black & Jeffrey A. Smith, 2006. "Estimating the Returns to College Quality with Multiple Proxies for Quality," Journal of Labor Economics, University of Chicago Press, vol. 24(3), pages 701-728, July.
  15. Claudia Goldin & Lawrence F. Katz, 1998. "The Shaping of Higher Education: The Formative Years in the United States, 1890 to 1940," NBER Working Papers 6537, National Bureau of Economic Research, Inc.
  16. Dan A. Black & Jeffrey Smith, 2003. "How Robust is the Evidence on the Effects of College Quality? Evidence From Matching," University of Western Ontario, CIBC Centre for Human Capital and Productivity Working Papers 20033, University of Western Ontario, CIBC Centre for Human Capital and Productivity.
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