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Elasticity of Household Expenditure on Education in Rural India

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  • Jandhyala B.G. Tilak

    (National Institute of Educational Planning and Administration, New Delhi Email: itilak@vsnl.com [or] j_tilak@hotmail.com)

Abstract

Using a national household survey data on rural India, the article estimates coefficients of elasticity to examine two important questions on the nature of household expenditure on education: how do households behave in spending on education, given a change in their levels of economic development; and whether households complement or substitute public efforts in spending on education? The results indicate that there is a complementary relationship between household and government expenditures on education; and that household expenditures respond favourably but less than proportionately to changes in household incomes.

Suggested Citation

  • Jandhyala B.G. Tilak, 2002. "Elasticity of Household Expenditure on Education in Rural India," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 3(2), pages 217-226, September.
    • Handle: RePEc:sae:soueco:v:3:y:2002:i:2:p:217-226
    DOI: 10.1177/139156140200300206
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    1. Jandhyala B.G. Tilak, 2002. "Determinants of Household Expenditure on Education in Rural India," NCAER Working Papers 88, National Council of Applied Economic Research.
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