Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/30718
Year of Publication: 
2010
Series/Report no.: 
CESifo Working Paper No. 2917
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
We analyze whether globalization affects the composition of public expenditures for education by integrating arguments from the Heckscher-Ohlin and the tax competition literature into a common theoretical framework. The model suggests that with increasing global integration, developing countries have strong incentives to shift public education expenditures towards lower education. In industrialized countries, on the other hand, globalization has an ambiguous effect on the composition of public education expenditures. We test and confirm these hypotheses with data on 86 countries over the 1999-2006 period.
Subjects: 
globalization
public education
composition of public spending
JEL: 
F15
H42
H52
Document Type: 
Working Paper
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