Effect of Secondary School Fees on Educational Attainment

29 Pages Posted: 28 Feb 2012  

Regina T. Riphahn

University of Erlangen-Nuremberg-Friedrich Alexander Universität Erlangen Nürnberg - Department of Economics; IZA Institute of Labor Economics; CESifo (Center for Economic Studies and Ifo Institute)

Date Written: March 2012

Abstract

In this study, the heterogeneity of the fee abolition process in West German secondary schools is used to identify the effect of school fees on educational attainment and to obtain an estimate of the price elasticity of upper secondary education. The analysis is based on representative individual‐level data from three annual surveys of the German Mikrozensus. While coefficients cannot be estimated precisely, the results suggest that, on average, upper secondary school attainment increased by at least 8 percent in response to the fee abolition. The educational attainment of females appears to be more price sensitive than that of males.

Keywords: Tuition, school attainment, demand for education, natural experiment

JEL Classification: I20, H52, H71, C21

Suggested Citation

Riphahn, Regina T., Effect of Secondary School Fees on Educational Attainment (March 2012). The Scandinavian Journal of Economics, Vol. 114, Issue 1, pp. 148-176, 2012. Available at SSRN: https://ssrn.com/abstract=2012170 or http://dx.doi.org/10.1111/j.1467-9442.2011.01661.x

Regina T. Riphahn (Contact Author)

University of Erlangen-Nuremberg-Friedrich Alexander Universität Erlangen Nürnberg - Department of Economics ( email )

Lange Gasse 20
Nuernberg, D-90403
Germany

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

CESifo (Center for Economic Studies and Ifo Institute)

Poschinger Str. 5
Munich, DE-81679
Germany

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