Competition, Cooperation and Regulatory Intervention Impacts on Independent School Fees

Caroline Elliott (), Palitha Konara and Yingqi Wei

International Journal of the Economics of Business, 2016, vol. 23, issue 2, 243-262

Abstract: This paper examines the factors determining fee levels set by independent schools, focusing on the impact of competition, cooperation and regulatory intervention in the sector. Results indicate that, once account is taken of factors such as the extent of local competition between independent schools, the impact of the 2003--2005 Office of Fair Trading investigation into the fee-setting cartel on independent school fees becomes insignificant. Meanwhile, the extent of competition between independent schools has a significant effect on levels of boarding school fees. Results highlight the importance of considering pricing strategies of groups within a cartel.

Date: 2016
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DOI: 10.1080/13571516.2016.1144011

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