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The Schooling and Labor Market Effects of Eliminating University Tuition in Ecuador

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  • Molina, Teresa

    (University of Hawaii at Manoa)

  • Rivadeneyra, Ivan

    (University of Hawaii at Manoa)

Abstract

This paper estimates the effects of a 2008 policy that eliminated tuition fees at public universities in Ecuador. We use a difference-in-differences strategy that exploits variation across cohorts differentially exposed to the policy, as well as geographic variation in access to public universities. We find that the tuition fee elimination significantly increased college participation and affected occupation choice, shifting people into higher-skilled jobs. We detect no statistically significant effects on income. Overall, the bulk of the benefits of this fee elimination were enjoyed by individuals of higher socioeconomic status.

Suggested Citation

  • Molina, Teresa & Rivadeneyra, Ivan, 2020. "The Schooling and Labor Market Effects of Eliminating University Tuition in Ecuador," IZA Discussion Papers 13638, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp13638
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    Cited by:

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    3. George Abuchi Agwu & Oussama Ben Atta, 2021. "University proximity at teenage years and educational attainment," Working Papers hal-03492963, HAL.
    4. Gabriela Morejón Cabrera & Petr Mariel, 2024. "Master’s degree studies and its impact on vertical and horizontal mismatch in Spain," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 41(3), pages 687-716, October.
    5. Oussama Ben Atta, 2022. "University proximity at teenage years and educational attainment," French Stata Users' Group Meetings 2022 02, Stata Users Group.

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    More about this item

    Keywords

    higher education; tuition reduction; Ecuador;
    All these keywords.

    JEL classification:

    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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