Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/96663 
Year of Publication: 
2013
Series/Report no.: 
ifo Working Paper No. 170
Publisher: 
ifo Institute - Leibniz Institute for Economic Research at the University of Munich, Munich
Abstract: 
We investigate externalities in higher education enrollment over the course of development in a two-sector model. Each sector works with only one type of labor, skilled or unskilled, and individuals are differentiated according to their cost of acquiring human capital.Both sectors exhibit productivity externalities in the size of the skill-specific labor and in the average human capital of workers. When skill-biased technological change prevails, it may well be the case that intermediate stages of development witness underenrollment in higher education, while highly developed economies experience overenrollment.
Subjects: 
Higher education
enrollment
externalities
two-sector model.
JEL: 
D62
I21
J24
O10
Document Type: 
Working Paper

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