WORKING PAPERS

SELECTED WORK IN PROGRESS

  • Determinants of University Competition and Student Demand in Higher Education: Evidence from Australia, with Natalie Bachas

We exploit detailed administrative data from an Australian college admission center and exogenous variation in tuitions fees. Firstly, we show that students’ choices are affected by price changes. Furthermore, we present evidence that universities use admission thresholds to compete for a number and quality of admitted students. We estimate a model of college demand and university competition to study the determinants of student demand, university competition and consequences of government interventions in college markets. The findings suggest that price regulations result in different outcomes compared to direct admission regulations. Because of the strategic behavior of universities, pricing policies might lead to segregation by the quality of students or by socio-economic status. Both effects might be viewed as undesirable consequences of government interventions, which fundamentally depend on a joint distribution of student characteristics and distributional preferences.

  • Labor Markets, Individual Preferences and Spatial Equilibria

  • Wealth vs. Bequest Taxation: Evidence from Sweden

  • Family-Level Responses to Social Insurance

  • Consumer Screening and Market Welfare