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Balancing the risk of ‘Lazearian’ interrupters and the benefits of educational and social peers: tracing parental preferences for class-size reduction

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  • Karl Fritjof Krassel
  • Jacob Ladenburg
  • Camilla Dalsgaard

Abstract

Using Danish survey data from a choice experiment, parental preferences for class-size reduction are estimated. While parents with children in large classes are willing to pay for class-size reduction, parents with children in small classes are reluctant and even express negative utility for further class-size reduction. We interpret this as parents balancing the risk of ‘Lazearian’ interrupters and the benefits of educational and social peers when forming their preferences for class size.

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  • Karl Fritjof Krassel & Jacob Ladenburg & Camilla Dalsgaard, 2016. "Balancing the risk of ‘Lazearian’ interrupters and the benefits of educational and social peers: tracing parental preferences for class-size reduction," Applied Economics Letters, Taylor & Francis Journals, vol. 23(7), pages 471-481, May.
    • Handle: RePEc:taf:apeclt:v:23:y:2016:i:7:p:471-481
    DOI: 10.1080/13504851.2015.1083073
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    6. Datar, Ashlesha & Mason, Bryce, 2008. "Do reductions in class size "crowd out" parental investment in education?," Economics of Education Review, Elsevier, vol. 27(6), pages 712-723, December.
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    Cited by:

    1. Amilon, Anna & Ladenburg, Jacob & Siren, Anu & Vernstrøm Østergaard, Stine, 2020. "Willingness to pay for long-term home care services: Evidence from a stated preferences analysis," The Journal of the Economics of Ageing, Elsevier, vol. 17(C).
    2. Nandrup, Anne Brink, 2017. "On the importance of school-based inputs in the production of student achievement: Evidence in a recent Scandinavian context," Nationaløkonomisk tidsskrift, Nationaløkonomisk Forening, vol. 2017(1), pages 1-22.

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