Logo
EnglishCookie löschen - von nun an wird die Spracheinstellung Ihres Browsers verwendet.
Poutvaara, Panu; Kanniainen, Vesa (1999): Why to Invest in your Neighbor? Social Contract on Educational Investment. CESifo Working Paper, 202
Volltext auf 'Open Access LMU' nicht verfügbar.

Abstract

It may be in the interest of low-ability individuals to subsidize the education of high-ability individuals. Sufficient conditions are surprisingly mild: positive externalities in education and complementarity in production between human capital and labor supllied by the low-ability individuals. However, tax competition and the free mobility of the educated give rise to time-inconsistency and free-riding problems which render such a social contract infeasible and result in a subotimally low investment in education.