ERIC Number: ED314981
Record Type: Non-Journal
Publication Date: 1987
Reference Count: N/A
A Study of the Economic Impact of Variation in the Nonresident Tuition Rate at Public Institutions of Higher Education in South Dakota. Bulletin Number One Hundred Thirty-Two.
Brown, Ralph J.; Johnson, Dennis A.
The study examined the likely response of nonresident enrollments to a lowering of nonresident tuition rates in South Dakota public institutions of higher education; the cost of educating additional nonresident students; and other economic benefits to the state of increased enrollment of nonresident students at state universities. Nonresident enrollment trends (1972-1985) are summarized textually and graphically for: the University of South Dakota, Black Hills State College, Dakota State College, Northern State College, South Dakota School of Mines and Technology, and South Dakota State University. The demand model is then applied in terms of the price-enrollment relationship, the econometric demand model, price elasticity of demand, and marginal revenue. Finally, the least-squares-dummy-variable method of estimating the coefficients of the model is applied to the pooled sample for students from Iowa, Minnesota, North Dakota, Nebraska, Wyoming, and all other states and foreign countries. The data were also examined in terms of the cost model, an econometric estimation of the cost function, demand and cost together, and community effects of increased enrollment. It is concluded that a reduction in nonresident tuition rate would significantly increase enrollment but that increased costs would be greater than increased revenues. Inexpensive strategies for increasing nonresident enrollment are outlined. Data is displayed in 8 tables and 46 figures; 9 references are provided. (DB)
Descriptors: Cost Effectiveness, Economic Factors, Economic Research, Educational Policy, Higher Education, Out of State Students, State Universities, Tuition
Business Research Bureau, School of Business, University of South Dakota, Vermillion, South Dakota.
Publication Type: Reports - Research; Numerical/Quantitative Data
Education Level: N/A
Audience: Policymakers; Administrators; Practitioners
Authoring Institution: South Dakota Univ., Vermillion. Business Research Bureau.
Identifiers - Location: South Dakota