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Innovative Ways to Finance Education and Their Relation to Lifelong Learning

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  • Hessel Oosterbeek

Abstract

This paper provides three pieces of analysis. First, an economic theory account of the reasons that governments may have to intervene in the maket for education is offered. This account is based on insights from both the neoclassical (market) paradigm and the information paradigm. Second, it evaluates different proposals for the financing of (higher) education found in the academic literature. The proposals centre around three themes: more reliance on tuition fees higher education, a shift in the student aid system from schemes dominated by grants towards loans systems, and different types of voucher models. The third piece of analysis relates to selected country examples of policy proposals and developments. These developments and proposals are judged in terms of the analyses in the previous two themes.

Suggested Citation

  • Hessel Oosterbeek, 1998. "Innovative Ways to Finance Education and Their Relation to Lifelong Learning," Education Economics, Taylor & Francis Journals, vol. 6(3), pages 219-251.
    • Handle: RePEc:taf:edecon:v:6:y:1998:i:3:p:219-251
    DOI: 10.1080/09645299800000020
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    Cited by:

    1. Peter W Jones, 2005. "Financing For Life Long Education:For Real GDP Growth In Jamaica," Development and Comp Systems 0511022, University Library of Munich, Germany.
    2. Dolores Messer & Stefan C. Wolter, 2009. "Money Matters - Evidence from a Large-Scale Randomized Field Experiment with Vouchers for Adult Training," CESifo Working Paper Series 2548, CESifo.
    3. Bruce Chapman & Louise Watson & Leesa Wheelahan, 2001. "From Silos to Seamlessness: Towards a Cross-sectoral Funding Model for Post-compulsory Education and Training," CEPR Discussion Papers 439, Centre for Economic Policy Research, Research School of Economics, Australian National University.

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