Fiscal decentralization and the performance of higher education institutions: the case of Europe
Julien Jacqmin () and
Mathieu Lefebvre ()
Working Papers of BETA from Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg
This paper empirically evaluates the impact of fiscal decentralization on the performance of higher education systems. To test this relationship,we build up a panel dataset composed of European countries. Countrylevel performance is measured by an indicator using data from the Shanghai ranking. Using a dynamic panel approach, we find that a higher share of government spending coming from decentralized levels of governmentsleads to an improvement of the performance of research-intensive higher education institutions. This result is confirmed by the use of an instrumental variable approach. We argue that a more decentralized higher education system increases the ability to attract and retain top scholars.
Keywords: fiscal decentralization; ranking; higher education institutions. (search for similar items in EconPapers)
JEL-codes: I28 H52 H75 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-edu and nep-eur
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Persistent link: https://EconPapers.repec.org/RePEc:ulp:sbbeta:2017-31
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