Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/325009 
Year of Publication: 
2025
Series/Report no.: 
CESifo Working Paper No. 12018
Publisher: 
CESifo GmbH, Munich
Abstract: 
This paper considers the role universities play in determining their enrollment when faced with government regulated domestic tuition. Our theoretical framework posits that domestic student enrollment increase and international student enrollment decrease or remain unchanged when domestic tuition increases. Using 30 years of data, we find higher tuition increases domestic enrollment, mediated by an expectation that students may respond negatively to increased tuition. Universities shift enrollment toward higher-revenue fields. The results for international student enrollment is mixed, depending on the research intensity of the university.
Subjects: 
post-secondary education
university enrollment
tuition
government funding
university regulation
JEL: 
I23
I28
I22
Document Type: 
Working Paper
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