Increasing the price of a university degree does not significantly affect enrolment if income contingent loans are available: evidence from HECS in Australia

Fabio Martinenghi ()

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Abstract: I provide evidence that, when income-contingent loans are available, student enrolment in university courses is not significantly affected by large increases in the price of those courses. I use publicly available domestic enrolment data from Australia. I study whether large increases in the price of higher education for selected disciplines in Australia in 2009 and in 2012 was associated with changes in their enrolment growth. I find that large increases in the price of a course did not lead to significant changes in their enrolment growth for that course.

Date: 2021-02
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