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Poutvaara, Panu (2004): Educating Europe: Should Public Education be Financed with Graduate Taxes or Income-contingent Loans? In: CESifo Economic Studies, Vol. 50, Nr. 4: S. 663-684
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Abstract

The mobility of labor reduces national incentives to invest in internationally applicable education. The European Union could overcome this by allowing member states to institute graduate taxes or income-contingent loans, collected also from migrants. Graduate taxes or income-contingent loans result in higher welfare than financing education with employment-based taxes. (JEL H 24, H 52, I 28, F 22)