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The Effect of University Costs and Institutional Incentives on Enrolments: Empirical Evidence for Italian Regions

In: Geographical Labor Market Imbalances. Recent Explanations and Cures

Author

Listed:
  • Claudia Pigini

    (Università di Perugia)

  • Stefano Staffolani

    (Università Politecnica delle Marche)

Abstract

We study the relationship between the enrollment decisions of Italian secondary school graduates and the cost of participating in higher education. In particular, we look into the role of incentives, such as scholarship grants, and of the supply of under-priced accommodation which are policy tools in the hands of regional institutes (Enti Regionali per il diritto allo Studio Universitario, ERSU). We provide empirical evidence by estimating a conditional logit model using the survey of 2004 secondary school graduates issued by the Italian Institute of Statistics (ISTAT). We find that enrollment costs are determinant in students university choices: on average, the elasticity of the probability of enrollment to tuition fees is 0:062, the one to expected grants is 0:028, and the one to expected rent is 0:022. Differences between regions are considerable: southern regions show lower elasticities, while small central and northern regions exhibit the largest ones.

Suggested Citation

  • Claudia Pigini & Stefano Staffolani, 2015. "The Effect of University Costs and Institutional Incentives on Enrolments: Empirical Evidence for Italian Regions," AIEL Series in Labour Economics, in: Chiara Mussida & Francesco Pastore (ed.), Geographical Labor Market Imbalances. Recent Explanations and Cures, edition 1, chapter 12, pages 261-282, AIEL - Associazione Italiana Economisti del Lavoro.
    • Handle: RePEc:ail:chapts:08-12
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    Keywords

    Conditional logit model; Enrolment cost; Graduates’ mobility; Regional differentials; University enrolment;
    All these keywords.

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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