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Explaining Increases in Higher Education Costs

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Author Info
Robert B. Archibald () (Department of Economics, College of William and Mary)
David H. Feldman () (Department of Economics, College of William and Mary)

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Abstract

This paper presents new evidence on the conflict between two competing explanations of the increase in college costs, the cost disease theory of William Baumol and William Bowen and the revenue theory of cost of Howard Bowen. Using cross section data, the paper demonstrates that the cost disease explanation dominates.

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File URL: http://web.wm.edu/economics/wp/cwm_wp42.pdf
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Publisher Info
Paper provided by Department of Economics, College of William and Mary in its series Working Papers with number 42.

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Length: 34 pages
Date of creation: 04 Sep 2006
Date of revision:
Handle: RePEc:cwm:wpaper:42

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Postal: P.O. Box 8795, Williamsburg, VA 23187-8795
Phone: (757) 221-4311
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Web page: http://www.wm.edu/economics/
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Related research
Keywords: Higher education costs; cost disease; revenue theory of cost;

Find related papers by JEL classification:
I22 - Health, Education, and Welfare - - Education - - - Educational Finance
I23 - Health, Education, and Welfare - - Education - - - Higher Education Research Institutions
I28 - Health, Education, and Welfare - - Education - - - Government Policy

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Robert B. Archibald & David H. Feldman, 2004. "State Higher Education Spending and the Tax Revolt," Working Papers 10, Department of Economics, College of William and Mary. [Downloadable!]
    Other versions:
  2. Goldin, Claudia & Margo, Robert A, 1992. "The Great Compression: The Wage Structure in the United States at Mid-century," The Quarterly Journal of Economics, MIT Press, vol. 107(1), pages 1-34, February. [Downloadable!] (restricted)
    Other versions:
  3. Baumol, William J, 1972. "Macroeconomics of Unbalanced Growth: Reply," American Economic Review, American Economic Association, vol. 62(1), pages 150, March.
  4. Bela Balassa, 1964. "The Purchasing-Power Parity Doctrine: A Reappraisal," Journal of Political Economy, University of Chicago Press, vol. 72, pages 584. [Downloadable!] (restricted)
  5. Thomas Lemieux, 2006. "Postsecondary Education and Increasing Wage Inequality," American Economic Review, American Economic Association, vol. 96(2), pages 195-199, May. [Downloadable!]
    Other versions:
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Statistics
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This page was last updated on 2009-10-20.

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