DP1808 Risk, Resources and Education

Author(s): Robert K von Weizsäcker, Berthold Wigger
Publication Date: March 1998
Keyword(s): choice under certainty, Public Education, tuitions fees
JEL(s): D81, H52, I22
Programme Areas: Human Resources
Link to this Page: cepr.org/active/publications/discussion_papers/dp.php?dpno=1808

The paper develops a public education scheme that takes uncertainty aspects of private educational investments explicitly into account. A case is made for tuition fees, which depend on expected return on investments in education. The consideration of uncertainty provides a neglected link between educational choice, resource endowment and productivity growth, that may serve to redefine the public role of education financing.