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ERIC Number: ED443651
Record Type: Non-Journal
Publication Date: 2000-Jul
Pages: 23
Abstractor: N/A
Reference Count: N/A
ISBN: N/A
ISSN: N/A
Marginal Willingness To Pay for Education and the Determinants of Enrollment in Mexico. Policy Research Working Papers.
Lopez-Acevedo, Gladys; Salinas, Angel
Standard benefit-incidence analysis assumes that the subsidy and the quality of educational services are the same for all income deciles. This paper takes a new approach, a "marginal willingness to pay" analysis that measures the impact of the government's provision of public schools on the educational spending behavior of an average Mexican household. Mexican National Household Income and Expenditures Survey data (1996) were analyzed to examine: (1) how much an average household with given characteristics would spend on a child if subsidized public schools were not available; (2) how much the household "saves" by sending the child to public rather than private schools; (3) size of the "savings" for various income groups; (4) determinants for enrollment in upper secondary school by income groups and rural versus urban location; and (5) how individuals' educational expenditures affect enrollment patterns. Among the findings are that the nonpoor and those in urban areas got a large share of the subsidy or "savings" from government provision of educational services. Household enrollment and transition to secondary school depended heavily on the cost of schooling, head of household's educational level, per capita household income, and housing characteristics. Probability of secondary school attendance was much higher in the top 40 percent of urban income groups than in the bottom 40 percent in rural areas. The variable government effort had a significant marginal impact on upper secondary enrollment that, in elasticity terms, was 12 times more effective for the poor than the wealthy and 15 times more effective in rural than urban areas. (Contains 24 references and 26 data tables.) (Author/SV)
World Bank, 1818 H Street, NW, Washington, DC 20433; Tel: 202-458-5155. For full text: http://econ.worldbank.org/docs.1160.pdf.
Publication Type: Reports - Research
Education Level: N/A
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: World Bank, Washington, DC.
Identifiers - Location: Mexico