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Fertility, growth, and flat-rate taxation for education subsidies

Authors
Journal
Economics Letters
0165-1765
Publisher
Elsevier
Publication Date
Volume
60
Issue
2
Identifiers
DOI: 10.1016/s0165-1765(98)00097-4
Keywords
  • Education Subsidies
  • Fertility
  • Growth
  • Regressions
  • Taxation
Disciplines
  • Economics
  • Education

Abstract

Abstract In this paper we show that an increase in the ratio of educational subsidies to income financed by flat-rate consumption and income taxes enhances economic growth, and has no net effect on fertility with logarithmic preferences. Using data from 69 countries, a cross-section analysis indicates that these theoretical results are consistent with empirical evidence.

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