nep-edu New Economics Papers
on Education
Issue of 2007‒11‒03
eleven papers chosen by
Joao Carlos Correia Leitao
University of the Beira Interior

  1. A model of university choice: an exploratory approach By Raposo, Mário; Alves, Helena
  2. Post-Secondary Education in Canada: Can Ability Bias Explain the Earnings Gap Between College and University Graduates? By Vincenzo Caponi; Miana Plesca
  3. Educational Quality, Communities, and Public School Choice: a Theoretical Analysis. By Tarek Mostafa; Saïd Hanchane
  4. Giving Children a Better Start: Preschool Attendance and School-Age Profiles By Samuel Berlinski; Sebastian Galiani; Marco Manacorda
  5. Duration and Intensity of Kindergarten Attendance and Secondary School Track Choice By Landvoigt, Tim; Muehler, Grit; Pfeiffer, Friedhelm
  6. Influencia de la inmigración en la elección escolar By Adriana Sánchez Hugalde
  7. Education and Crime over the Life Cycle By Giulio Fella; Giovanni Gallipoli
  8. The Effect of Private Tutoring Expenditures on Academic Performance: Evidence from a Nonparametric Bounding Method By Changhui Kang
  9. Diversity of human capital attributes and diversity of remunerations By Fatima Suleman; Jean-Jacques Paul
  10. Family Networks and Orphan Caretaking in Tanzania By Christopher Ksoll
  11. Information and Human Capital Managment By Heski Bar-Isaac; Ian Jewitt; Clare Leaver

  1. By: Raposo, Mário; Alves, Helena
    Abstract: In order to attract the best students, institutions of higher education need to understand how students select colleges and universities (Kotler and Fox, 1995). Understanding the choice process of a university is an instrument with high potential for developing universities marketing strategies (Plank and Chiagouris, 1997). Although many studies have tried to investigate which criteria students use to select a college or university, few have tried to analyse this trough a model that allows the interaction of all these criteria. This study presents a model of university choice, analysed through structural equations modelling using the Partial Least Squares approach.
    Keywords: Marketing; student recruitment and selection; high institution development; strategic planning.
    JEL: I21 C30 M31 I23
    Date: 2007–10–31
  2. By: Vincenzo Caponi (Department of Economics Ryerson University, Toronto, Canada and The Rimini Centre for Economics Analysis, Rimini, Italy.); Miana Plesca (University of Guelph, Canada)
    Abstract: Post-Secondary Education in Canada: Can Ability Bias Explain the Earnings Gap Between College and University Graduates? Using the Canadian General Social Survey we compute returns to post-secondary education relative to high-school. Unlike previous research using Canadian data, our dataset allows us to control for ability selection into higher education. We find strong evidence of positive ability selection into all levels of post-secondary education for men and weaker positive selection for women. Since the ability selection is stronger for higher levels of education, particularly for university, the difference in returns between university and college or trades education decreases slightly after accounting for ability bias. However, a puzzling large gap persists, with university-educated men still earning over 20% more than men with college or trades education. Moreover, contrary to previous Canadian literature that reports higher returns for women, we document that the OLS hourly wage returns to university education are the same for men and women. OLS returns are higher for women only if weekly or yearly wages are considered instead, because university-educated women work more hours than the average. Nevertheless, once we account for ability selection into post-secondary education, we generally find higher returns for women than for men for all wage measures as a result of the stronger ability selection for men.
    Keywords: returns to university, returns to college, returns to trades, unobserved ability, selection bias
    JEL: J24 J31 I2 C3
    Date: 2007–07
  3. By: Tarek Mostafa (LEST - Laboratoire d'économie et de sociologie du travail - CNRS : UMR6123 - Université de Provence - Aix-Marseille I - Université de la Méditerranée - Aix-Marseille II); Saïd Hanchane (LEST - Laboratoire d'économie et de sociologie du travail - CNRS : UMR6123 - Université de Provence - Aix-Marseille I - Université de la Méditerranée - Aix-Marseille II)
    Abstract: In this paper, we develop a multicommunity model where public mixed finance and private schools coexist. Students are differentiated by income, ability and social capital. Schools maximize their profits under a quality constraint; the pricing function is dependent on the cost of producing education and on the position of an individual relatively to mean ability and mean social capital. Income plays an indirect role since it determines the type of schools and communities that can be afforded by a student given his ability and social capital.<br /><br />Three dimensional stratification results from schools’ profit maximization and individuals’ utility maximization. We study majority voting over tax rates; property tax is used to finance education not only in pure public schools but also in mixed finance schools. We provide the necessary conditions for the existence of a majority voting equilibrium determined by the median voter. Finally, we analyze the consequences of introducing public school choice.
    Keywords: Education market; Majority voting equilibrium; Peer group effects; Social Capital; Students; Formation of communities; School choice
    Date: 2007–10–08
  4. By: Samuel Berlinski (University College London and Institute for Fiscal Studies); Sebastian Galiani (Washington University); Marco Manacorda (Queen Mary, University of London, CEP (LSE) and CEPR)
    Abstract: We study the effect of pre-primary education on children's subsequent school outcomes by exploiting a unique feature of the Uruguayan household survey (ECH) that collects retrospective information on preschool attendance in the context of a rapid expansion in the supply of pre-primary places. Using a within household estimator, we find small gains from preschool attendance at early ages that magnify as children grow up. By age 15, treated children have accumulated 0.8 extra years of education and are 27 percentage points more likely to be in school compared to their untreated siblings. Instrumental variables estimates that control for non random selection of siblings into pre-school lead to similar results. We speculate that early grade repetition harms subsequent school progression and that pre-primary education appears as a successful policy option to prevent early grade failure and its long lasting consequences.
    Keywords: Preschool, Pre-primary education, Primary school performance
    JEL: I2 J1
    Date: 2007–10
  5. By: Landvoigt, Tim; Muehler, Grit; Pfeiffer, Friedhelm
    Abstract: This paper investigates the relationship between kindergarten attendance and secondary school track choice in West-Germany. Our analysis is based on a panel of 12 to 14-year olds with information from age two on, drawn from the German SocioEconomic Panel (GSOEP) 1984–2005. We estimate binary probit models to assess the impact of the duration (in years) and the intensity (half-day or full-day) of kindergarten attendance. Our results indicate that kindergarten non-attendance is associated with a significantly lower probability to attend the highest secondary school track (“Gymnasium”). Further, full-day attendance is associated with a decreasing probability of attending the highest secondary school track for every duration of preschool child care. Thus, intensity seems to matter more than duration.
    Keywords: kindergarten, preschool education, school placement
    JEL: I21 J12 J13
    Date: 2007
  6. By: Adriana Sánchez Hugalde (Institut d'Economia de Barcelona (IEB); Universitat de Barcelona (UB))
    Abstract: This empirical work studies the influence of immigrant students on individuals’ school choice in one of the most populated regions in Spain: Catalonia. It has estimated, following the Poisson model, the probability that a certain school, which immigrant students are already attending, may be chosen by natives as well as by immigrants, respectively. The information provided by the Catalonia School Department presents school characteristics of all the primary and secondary schools in Catalonia during the 2001/02 and 2002/03 school years. The results obtained support the evidence that Catalonia native families avoid schools attended by immigrants. Natives certainly prefer not to interact with immigrants. Private schools are more successful in avoiding immigrants. Finally, the main reason for non-natives’ choice is the presence of other non-natives in the same school.
    Keywords: School Choice, Immigration
    JEL: I21 J15
    Date: 2007
  7. By: Giulio Fella (Queen Mary, University of London, UK and The Rimini Centre for Economics Analysis, Rimini, Italy.); Giovanni Gallipoli (University of British Columbia, Canada.)
    Abstract: In this paper we ask whether policies targeting a reduction in crime rates through changes in education outcomes can be considered an effective and cost-viable alternative to interventions based on harsher punishment alone. In particular we study the effect of subsidizing high school completion. Most econometric studies of the impact of crime policies ignore equilibrium effects and are often reduced-form. This paper provides a framework within which to study the equilibrium impact of alternative policies. We develop an overlapping generation, life-cycle model with endogenous education and crime choices. Education and crime depend on different dimensions of heterogeneity, which takes the form of differences in innate ability and wealth at birth as well as employment shocks. PSID, NIPA and CPS data are used to estimate the parameters of a production function with different types of human capital and to approximate a distribution of permanent heterogeneity. These estimates are used to pin down some of the modelÕs parameters. The model is calibrated to match education enrolments, aggregate (property) crime rate and some features of the wealth distribution. In our numerical experiments we find that policies targeting crime reduction through increases in high school graduation rates are more cost-effective than simple incapacitation policies. Furthermore, the cost-effectiveness of high school subsidies increases significantly if they are targeted at the wealth poor. We also find that financial incentives to high school graduation have radically different implications in general and partial equilibrium (i.e. the scale of the programmes can substantially change its outcomes).
    Date: 2007–07
  8. By: Changhui Kang (Department of Economics, National University of Singapore)
    Abstract: The causal relationship between educational investments and student outcomes continues to attract attention. The majority of studies have examined the effectiveness of public school expenditures or private school attendance on student outcomes. This paper contributes to the literature by examining the effectiveness of an unexplored dimension of educational inputs—private tutoring expenditures of South Korean parents. In the face of difficulties in causal estimation, the paper employs a nonparametric bounding method that is recently gaining popularity. With the method we show that the true effect of private tutoring remains at most modest. The tightest bounds suggest that a 10 percent increase in expenditure raises a student's test score by 0.764 percent at the largest. Such a modest effect remains similar across male and female students, and across students of different ability levels.
    Keywords: Private Tutoring, Test Scores, Nonparametric Bounds, South Korea
    JEL: I20 C30
  9. By: Fatima Suleman (ISCTE - Instituto Superior de Ciências do Trabalho e da Empresa - Universidade de Lisboa); Jean-Jacques Paul (IREDU - Institut de recherche sur l'éducation : Sociologie et Economie de l'Education - CNRS : UMR5225 - Université de Bourgogne)
    Abstract: The purpose is to provide some empirical evidence for promoting new insights into the economics of education. Particular attention is paid to the concept of competence and its influence on employee reward. The paper aims at comparing the impact on fixed earnings and flexible pay of the traditional human capital theory variables (education and experience) on the one hand and of specifically identified and assessed competences, on the other hand. <br />The objective is to test if the HCV (years of schooling, years of labour market experience) and competences substitute or complement each other in the definition of earnings.
    Keywords: Human Capital ; Remunerations ; Fixed earnings ; Flexible pay ; Education ; Professional Experience ; Competencies
    Date: 2007–09–20
  10. By: Christopher Ksoll
    Abstract: This paper studies the effects of orphanhood on health and education outcomes of children in Tanzania. Using an original dataset on members of the extended family networks of orphaned children, I assess by how much the effects of orphanhood are reduced due to a systematic placement of the orphans within the family network. I find that orphanhood has significant negative impacts on female orphans` welfare in terms of health and education, not however for male orphans. I then provide evidence that the selection of caretakers reduces the negative impact of orphanhood on years of education by one year relative to caretaking by the average family within the family network.
    Keywords: Orphans, Extended Family, Caregiving, Tanzania
    JEL: O15 D10 I3 J12
    Date: 2007
  11. By: Heski Bar-Isaac; Ian Jewitt; Clare Leaver
    Date: 2007

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