The Effect of Market Integration on Public Higher Education
| dc.contributor.author | Lara, Bernardo | en |
| dc.date.accessed | 2017-12-05 | en |
| dc.date.accessioned | 2018-06-22T15:34:37Z | en |
| dc.date.available | 2018-06-22T15:34:37Z | en |
| dc.date.issued | 2014-01-30 | en |
| dc.description.abstract | This paper assesses the relationship between prices and market integration in public higher education. The analysis focuses on the effect of Tuition Reciprocity Agreements (TRAs) on in-state resident tuition and fees of 4-year public institutions. Those agreements, which lower tuition for out-of-state students, can be understood as market integration devices. Market integration through TRAs is analyzed under the framework of an in-state subsidized market where demand has now access to a bigger choice set of partially subsidized institutions, changing decisions towards higher expenditure and quality. Using longitudinal data, I present strong evidence that the market integration of TRAs sparked an increase in 4-year public institution in-state prices. The result holds for both selective and non-selective institutions. In the same line, the TRAs have also increased the faculty/student ratio among selective institutions. These findings rearm the idea that part of the increase of prices in higher education is explained by market integration, as suggested by Hoxby (1997). | en |
| dc.description.sponsorship | Center for Education Policy Analysis | en |
| dc.format.mimetype | application/pdf | en |
| dc.identifier.sourceurl | http://cepa.stanford.edu/sites/default/files/tra_paper.pdf | en |
| dc.identifier.uri | http://hdl.handle.net/10919/83645 | en |
| dc.language.iso | en_US | en |
| dc.publisher | Center for Education Policy Analysis | en |
| dc.rights | Creative Commons Attribution-NoDerivatives 4.0 International | en |
| dc.rights.uri | http://creativecommons.org/licenses/by-nd/4.0/ | en |
| dc.subject | Higher education and state | en |
| dc.subject | in-state tuition | en |
| dc.subject | market integration | en |
| dc.subject | non-selective institutions | en |
| dc.title | The Effect of Market Integration on Public Higher Education | en |
| dc.type | Article | en |
| dc.type.dcmitype | Text | en |
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