Low skilled immigration and the expansion of private schools

Davide Dottori and I-Ling Shen

No 726, Temi di discussione (Economic working papers) from Bank of Italy, Economic Research and International Relations Area

Abstract: A political-economic model is provided to study the impact of low-skilled immigration on the receiving country's education system, in terms of sources of school funding, expenditure per pupil, and type of parents who are more likely to send children to privately funded schools. The education regime results from the interplay between households' choices on fertility and education and the public education provided. No exogenous culturally-based difference is assumed among agents. Low-skilled migrant workers differ from their local counterparts only in voting rights and adjustment costs. The impact of immigration on public school congestion, tax base, wages and skill premium are considered. When the number of low-skilled immigrants is large, the education regime tends to become more segregated, with wealthier locals more likely to opt out of the public system into private schools. The fertility differential between high- and low-skilled locals increases due to a quantity/quality trade-off. The theoretical predictions conform to stylized facts revealed in US census data and OECD PISA (2003).

Keywords: double taxation; education funding; fertility; migration; segregation; voting (search for similar items in EconPapers)
JEL-codes: D72 H42 H52 I21 O15 (search for similar items in EconPapers)
Date: 2009-10
New Economics Papers: this item is included in nep-lab, nep-mig and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

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Related works:
Working Paper: Low-Skilled Immigration and the Expansion of Private Schools (2009)
Working Paper: Low-Skilled Immigration and th Expansion of Private Schools (2008)
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Persistent link: https://EconPapers.repec.org/RePEc:bdi:wptemi:td_726_09

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