Several leading undergraduate intermediate macroeconomics textbooks now include a simple reduced-form New Keynesian model of short-run dynamics (alongside the IS-LM model). Unfortunately, there is no accompanying description of how the zero lower bound on nominal interest rates affects the model. In this article, the authors show how the…

Since the late 1980s, education systems have increasingly moved to allocating funding for general education by means of a per-student formula. The trend started with developed economies and moved to transition and developing economies, where the World Bank has promoted the adoption of per-student funding (PSF). But promoting a particular reform,…

There is now an extensive literature about internationalisation in higher education. However, much of the research relates to North America and Europe. This paper is concerned with internationalisation in Latin America and seeks to consider perceptions and experiences in Colombia and Mexico, and to compare practice in the public and private…

The fraudulent claims by policymakers and pundits that the United States is losing its economic competitiveness due to a failing education system continue unabated. However, the latest data on competitiveness suggest that it is poor economic policy, not education, that is holding back the economy.

In this article, we explore how partisanship affects state higher education policy priorities and expenditures. We assume that party coalitions are heterogeneous and policy preferences/priorities differ via mediating factors. We find that Democratic Party strength positively affects state funding for higher education but that the effect diminishes…

In today's world characterized by increasingly effective neoliberal policies, not only the sphere of public services is being constricted but also the concept of "public service" --which traditionally has been pointing at a responsible state providing public services based on social principles and methods-- is being transformed. In…

The concern about the United States' education attainment levels as compared with those of other countries, and the consequences of this poor showing, were given visibility by the inclusion of international statistics in the National Center for Public Policy and Higher Education publication, "Measuring Up 2008." That concern was…

Issues concerning higher education today (e.g., rising costs, declining public trust, changing state economics) have created new demands for postsecondary institutions to demonstrate their productivity. We examine whether differences in states' political cultures (i.e., underlying traditions, values, and public policy choices) are reflected…

Several wealthy colleges and universities have recently begun removing all loans from low-income students' financial aid packages. This article reports on a study that found that the introduction of "no-loan" policies has positively impacted low-income enrollments, suggesting that this aid strategy may be an effective, though…

Rising college costs are of increasing concern. At the 12 public universities in Illinois, average increases in tuition were modest, generally in the 4% range, until 1999 when individual campuses begin to increase tuition at double digit rates. In 2002-2003, the overall average increase in tuition/fees more than doubled at 13.79%. In an effort to…

In the current and foreseeable harsh UK higher education environment, aspiring to best-practice financial management will be key to ensuring the prosperity--and indeed the survival--of any university. In this article I argue that good university financial management should provide stability to the institution, allow for investment as well as…

Many state education leaders are taking a fresh look at school finance in hopes of containing costs. Some are reworking transportation formulas, or zeroing in on special education eligibility, or merging districts. Others are investing more in digital learning, charter innovations, and information systems. But state leaders too often overlook a…

In this article, the author describes conceptually how to think about the dramatic changes in monetary policy since the sub-prime crisis of August 2007. He also discusses how to incorporate these changes and related economic concepts in the teaching of an undergraduate class in macroeconomics. A distinction is made between conventional and…

Since the financial meltdown of 2007, advanced macroeconomic theory has delved more deeply into the question of the appropriate fiscal policy when the nominal interest rate is close to or at zero percent. Such analysis is typically conducted with the aid of New Keynesian Dynamic Stochastic General Equilibrium models. The policy implications are,…

The standard workhorse models of monetary policy now commonly in use, both for teaching macro-economics to students and for supporting policymaking within many central banks, are incapable of incorporating the most widely accepted accounts of how the 2007-9 financial crisis occurred and are incapable too of analyzing the actions that monetary…