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Private versus public schools in post-Apartheid South African cities: theory and policy implications

Private versus public schools in post-Apartheid South African cities: theory and policy implications
Private versus public schools in post-Apartheid South African cities: theory and policy implications
Blacks and whites have different incomes, decide where to locate in the city and which school to send their children to. We show that, despite the tuition fees imposed by whites and their remote location, some black pupils attend the private school. This market solution is shown not to be optimal because whites overprice education in order to limit black attendance at the private school. Three types of education policies are then considered: transportation subsidies, private-school vouchers and public-school spending. The efficiency of such policies depends on the fee-setting behavior of whites that strongly varies from one policy to another.
fees, education externalities, urban segregation, busing, vouchers
0304-3878
351-394
Selod, Harris
cd92c067-d705-4478-b327-3e34d4aee0ac
Zenou, Yves
f7c3b72f-b6b6-4550-8b0f-00a127af082e
Selod, Harris
cd92c067-d705-4478-b327-3e34d4aee0ac
Zenou, Yves
f7c3b72f-b6b6-4550-8b0f-00a127af082e

Selod, Harris and Zenou, Yves (2003) Private versus public schools in post-Apartheid South African cities: theory and policy implications. Journal of Development Economics, 71 (2), 351-394. (doi:10.1016/S0304-3878(03)00033-6).

Record type: Article

Abstract

Blacks and whites have different incomes, decide where to locate in the city and which school to send their children to. We show that, despite the tuition fees imposed by whites and their remote location, some black pupils attend the private school. This market solution is shown not to be optimal because whites overprice education in order to limit black attendance at the private school. Three types of education policies are then considered: transportation subsidies, private-school vouchers and public-school spending. The efficiency of such policies depends on the fee-setting behavior of whites that strongly varies from one policy to another.

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Published date: 2003
Keywords: fees, education externalities, urban segregation, busing, vouchers

Identifiers

Local EPrints ID: 33405
URI: http://eprints.soton.ac.uk/id/eprint/33405
ISSN: 0304-3878
PURE UUID: 81e8ab66-6062-4e1f-902c-5c4c8f729c69

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Date deposited: 16 May 2006
Last modified: 15 Mar 2024 07:43

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Contributors

Author: Harris Selod
Author: Yves Zenou

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