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Intergenerational Conflict, Partisan Politics, and Public Higher Education Spending: Evidence from the German States

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  • Oberndorfer, Ulrich

    (ZEW Mannheim)

  • Steiner, Viktor

    (Free University of Berlin)

Abstract

We analyze potential effects of demographic change and political constellations on higher education spending. In our panel analysis of west German states (Laender) for the period 1985 to 2002 we find empirical evidence for the hypothesis of a negative relationship between demographic aging and spending on public higher education. In contrast to the hypothesis of the classical partisan theory that implies higher public expenditures under leftist parties, we find that governments under conservative parties or a coalition between social democrats and conservatives spend more on public higher education than governments run by the social-democratic party alone.

Suggested Citation

  • Oberndorfer, Ulrich & Steiner, Viktor, 2006. "Intergenerational Conflict, Partisan Politics, and Public Higher Education Spending: Evidence from the German States," IZA Discussion Papers 2417, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp2417
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    Cited by:

    1. Markus Tepe & Pieter Vanhuysse, 2009. "Educational business cycles," Public Choice, Springer, vol. 139(1), pages 61-82, April.
    2. Dae Il Kim, 2010. "Comment on "The Effects of Demographic Change on Public Education in Japan"," NBER Chapters, in: The Economic Consequences of Demographic Change in East Asia, pages 219-222, National Bureau of Economic Research, Inc.
    3. Busemeyer, Marius R. & Goerres, Achim & Weschle, Simon, 2008. "Demands for redistributive policies in an era of demographic aging: The rival pressures from age and class in 15 OECD countries," MPIfG Discussion Paper 08/3, Max Planck Institute for the Study of Societies.
    4. Cattaneo, M. Alejandra & Wolter, Stefan C., 2009. "Are the elderly a threat to educational expenditures?," European Journal of Political Economy, Elsevier, vol. 25(2), pages 225-236, June.
    5. Niklas Potrafke, 2006. "Parties Matter in Allocating Expenditures: Evidence from Germany," Discussion Papers of DIW Berlin 652, DIW Berlin, German Institute for Economic Research.
    6. Fumio Ohtake & Shinpei Sano, 2010. "The Effects of Demographic Change on Public Education in Japan," NBER Chapters, in: The Economic Consequences of Demographic Change in East Asia, pages 193-219, National Bureau of Economic Research, Inc.
    7. Ueli Grob & Stefan C. Wolter, 2007. "Demographic Change and Public Education Spending: A Conflict between Young and Old?," Education Economics, Taylor & Francis Journals, vol. 15(3), pages 277-292.

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    More about this item

    Keywords

    demographic change; public higher education spending; partisan politics;
    All these keywords.

    JEL classification:

    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures
    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid

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