Are Public Subsidies to Higher Education Regressive ?
This paper estimates the dollar amount of public higher education subsidies received by U.S. youth and examines the distribution of subsidies and the taxes which finance them across parental and student income levels. Although youths from highincome families obtain more benefit from higher education subsidies, high-income households pay sufficiently more in taxes that the net effect of the spending and associated taxation is distributionally neutral or mildly progressive. These results are robust to alternative assumptions and are consistent with Hansen and Weisbrod’s earlier celebrated findings for California, although not with the conclusions often drawn from those findings.
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- Gordon C. Winston, 1995. "Capital and Capital Service Costs in 2700 US Colleges and Universities," Williams Project on the Economics of Higher Education DP-33, Department of Economics, Williams College.
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- Peter Gottschalk & Robert Moffitt, 1994. "The Growth of Earnings Instability in the U.S. Labor Market," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 25(2), pages 217-272.
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- Gary A. Moore, 1978. "Equity Effects of Higher Education Finance and Tuition Grants in New York State," Journal of Human Resources, University of Wisconsin Press, vol. 13(4), pages 482-501.
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- Enrico Moretti, 2002.
"Estimating the Social Return to Higher Education: Evidence From Longitudinal and Repeated Cross-Sectional Data,"
NBER Working Papers
9108, National Bureau of Economic Research, Inc.
- Moretti, Enrico, 2004. "Estimating the social return to higher education: evidence from longitudinal and repeated cross-sectional data," Journal of Econometrics, Elsevier, vol. 121(1-2), pages 175-212.
- Murphy, Kevin M & Welch, Finis, 1990. "Empirical Age-Earnings Profiles," Journal of Labor Economics, University of Chicago Press, vol. 8(2), pages 202-29, April.
- W. Lee Hansen & Burton A. Weisbrod, 1971. "On the Distribution of Costs and Benefits of Public Higher Education: Reply," Journal of Human Resources, University of Wisconsin Press, vol. 6(3), pages 363-374.
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