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The Consumer Demand for Education

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  • H. Youn Kim

Abstract

This paper presents new evidence on the estimation of the demand for education. Unlike previous studies, this study uses the translog-LES indirect utility function to analyze the demand for education within a multicommodity framework for annual U.S. consumption expenditures for the period 1958-82. Various restrictive existing specifications of the demand for education are tested and rejected. Income and price elasticities of education are estimated that are larger than those of existing studies. Taste change has moved toward the consumption of education, and the consumer has suffered from a loss in welfare due to increases in prices over time.

Suggested Citation

  • H. Youn Kim, 1988. "The Consumer Demand for Education," Journal of Human Resources, University of Wisconsin Press, vol. 23(2), pages 173-192.
    • Handle: RePEc:uwp:jhriss:v:23:y:1988:i:2:p:173-192
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    Cited by:

    1. Dongwon Lee & Thomas E. Borcherding & Youngho Kang, 2014. "Public Spending and the Paradox of Supermajority Rule," Southern Economic Journal, John Wiley & Sons, vol. 80(3), pages 614-632, January.
    2. Matthew N. Murray & Sally Wallace, 1997. "The Implications of Expanded School Choice," Public Finance Review, , vol. 25(5), pages 459-473, September.
    3. Hashimoto, Keiji & Heath, Julia A., 1995. "Income elasticities of educational expenditure by income class: The case of Japanese households," Economics of Education Review, Elsevier, vol. 14(1), pages 63-71, March.
    4. Duchesne, I. & Nonneman, W., 1998. "The Demand for Higher Education in Belgium," Economics of Education Review, Elsevier, vol. 17(2), pages 211-218, April.
    5. Van Zanden, Jan Luiten, 2009. "The skill premium and the ‘Great Divergence’," European Review of Economic History, Cambridge University Press, vol. 13(1), pages 121-153, April.

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