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Overseas Students in Australia: Costs and Revenues

Author

Listed:
  • Creedy, John

    (University of Melbourne)

  • Johnson, David

    (University of Melbourne)

  • Baker, Meredith

    (Productivity Commission)

Abstract

This paper considers the use of a university cost function to examine the costs and revenues of overseas students in Australia and to estimate the unobservable cost of providing education for only domestic students. The total costs (over all universities) of overseas students are found to be sensitive to variations in the cost function. The sensitivity of the specification of the cost function, particularly in terms of its nonlinearity, is examined. The paper also discusses the use of simple pricing rules for overseas students, since the standard pricing rules from the theory of the firm no longer apply.

Suggested Citation

  • Creedy, John & Johnson, David & Baker, Meredith, 1998. "Overseas Students in Australia: Costs and Revenues," Economic Analysis and Policy, Elsevier, vol. 28(2), pages 187-197, September.
    • Handle: RePEc:eee:ecanpo:v:28:y:1998:i:2:p:187-197
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    More about this item

    Keywords

    Education;

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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