Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/18732
Authors: 
Poutvaara, Panu
Year of Publication: 
2004
Series/Report no.: 
CESifo Working Paper 1369
Abstract: 
An increasing international applicability of a given type of education encourages students to invest more effort when studying. Governments, on the other hand, face an incentive to divert the provision of public education away from internationally applicable education toward country-specific skills. This would mean educating too few engineers, economists and doctors, and too many lawyers. If the total tax rate is kept constant, then replacing part of existing wage taxes with graduate taxes, collected also from migrants, would improve efficiency. It could even allow for a Pareto-improvement.
Subjects: 
graduate taxes
public education
European Union
migration
brain drain and brain gain
JEL: 
H52
F22
H24
I28
Document Type: 
Working Paper

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