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University Tuition Fees and High School Students’ Educational Intentions

Michael Bahrs and Thomas Siedler ()

Fiscal Studies, 2019, vol. 40, issue 2, 117-147

Abstract: This paper studies whether higher education tuition fees influence the intention to acquire a university degree among high school students and, if so, whether the effect on individuals from low‐income households is particularly strong. We analyse the introduction and subsequent elimination of university tuition fees in Germany across states and over time in a difference‐in‐differences setting. Using data from the Youth Questionnaire of the German Socio‐Economic Panel (SOEP), we find a large negative effect of tuition fees on the intentions of 17‐year‐olds to acquire a higher educational degree, with a decrease of around 8 percentage points (10 per cent). Individuals from low‐income households mainly drive the results. This study documents that the introduction of relatively low university tuition fees of €1,000 per academic year can considerably lower young people's educational intentions.

Date: 2019
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https://doi.org/10.1111/1475-5890.12185

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Working Paper: University Tuition Fees and High School Students’ Educational Intentions (2018) Downloads
Working Paper: University Tuition Fees and High School Students' Educational Intentions (2018) Downloads
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