Template-Type: ReDIF-Paper 1.0
Author-Name: T Agasisti
Author-Name-First: T
Author-Name-Last: Agasisti
Author-Name: G Johnes
Author-Name-First: G
Author-Name-Last: Johnes
Title: Cost Structure, Efficiency and Heterogeneity in US Higher Education: An Empirical Analysis
Abstract: We estimate a variety of models to evaluate costs in US higher education institutions. A novel feature of our approach involves the estimation of latent class and random parameter stochastic frontier models of the multiproduct cost function. This allows us fully to accommodate both the heterogeneity of institutions and the presence of technical inefficiencies. Our findings suggest that global economies could be achieved by effecting a reduction in the number of institutions providing undergraduate instruction, while increasing the number of institutions engaged in postgraduate activity.
Creation-Date: 2009
File-URL: http://www.lancaster.ac.uk/media/lancaster-university/content-assets/documents/lums/economics/working-papers/CostStructure.pdf
File-Format: application/pdf
Number: 599308
Classification-JEL: 
Keywords: costs, efficiency, stochastic frontier, latent class, random parameter.
Handle: RePEc:lan:wpaper:599308