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ERIC Number: EJ1147242
Record Type: Journal
Publication Date: 2017
Pages: 15
Abstractor: As Provided
ISSN: ISSN-0307-5079
Scale and Scope Economies of Distance Education in Australian Universities
Zhang, Liang-Cheng; Worthington, Andrew C.
Studies in Higher Education, v42 n9 p1785-1799 2017
Despite compelling qualitative arguments for scale and scope economies in university-level distance education, as distinct from traditional class-based face-to-face instruction, there is little rigorous quantitative evidence in support. In this paper, we explore the scale and scope economies of distance education using a multiplicatively separable cost function and a sample of 37 Australian public universities over the 10-year period from 2003 to 2012. The results suggest strong overall scale and scope economies and product-specific scale economies for distance education. Further, the economies of scope for distance education are increasing with mean output, suggesting an increasing cost benefit of producing distance education in conjunction with traditional class-based face-to-face teaching. This provides an important implication: when allocating places for different modes of attendance or considering further expansion of student numbers, there should be a priority on distance education as a means of achieving significant cost savings.
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Publication Type: Journal Articles; Reports - Research
Education Level: Higher Education; Postsecondary Education
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: N/A
Identifiers - Location: Australia
Grant or Contract Numbers: N/A