The Dynamic Market for Short-Cycle Higher Education Programs

Juan Esteban Carranza, María Marta Ferreyra and Ana Maria Gazmuri

Journal of Human Capital, 2026, vol. 20, issue 2, 191 - 222

Abstract: We explore the dynamics of short-cycle higher education programs (SCPs) and study how their supply responds to local economic activity and competition in Colombia. Using 2003–19 administrative data, we document a greater turnover for SCPs than for bachelor’s programs. We find that SCP providers respond to local labor demand shifts both by opening new programs and closing existing ones. When opening programs, private providers are more responsive than public ones, largely because they are more likely to open programs in fields where they previously had no offerings. Additionally, providers avoid new openings in markets with many competing programs.

Date: 2026
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