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An Economic Analysis of the Higher Education Contribution Scheme of the Wran Report

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  • Chapman, B.J.

    (Australian National University, Canberra)

Abstract

The Higher Education Contribution Scheme (HECS) of the Wran Report is a policy proposal motivated essentially by concerns related to equity and access. As such, it is a recommendation that gives relatively little weight to questions of economic efficiency and resource reallocation in higher education. This can be understood, in part, through reference to the fundamental dilemma inherent in finding a student charge system which encourages a significant expansion in the number of places. Ironically, the most strident criticisms of the Wran Report have come from those who believe that adoption of HECS will significantly decrease participation in higher education of the least advantaged. It is argued that most of these concerns have little basis.

Suggested Citation

  • Chapman, B.J., 1988. "An Economic Analysis of the Higher Education Contribution Scheme of the Wran Report," Economic Analysis and Policy, Elsevier, vol. 18(2), pages 171-188.
    • Handle: RePEc:eee:ecanpo:v:18:y:1988:i:2:p:171-188
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    Cited by:

    1. Berlinger, Edina, 2002. "A jövedelemarányos törlesztésű diákhitel egyszerű modellje [A simple model of student credit with repayments proportionate to income]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(12), pages 1042-1062.
    2. Sholeh A Maani, 2002. "Education and Maori Relative Income Levels over Time: The Mediating Effect of Occupation, Industry, Hours of Work and Locality," Treasury Working Paper Series 02/17, New Zealand Treasury.
    3. Barr, Nicholas, 1998. "Higher education in Australia and Britain : what lessons?," LSE Research Online Documents on Economics 285, London School of Economics and Political Science, LSE Library.
    4. P.W. Miller & J. Pincus, 1997. "Financing Higher Education in Australia: The case for superhecs," Economics Discussion / Working Papers 97-15, The University of Western Australia, Department of Economics.

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