Arbeitspapier

Can higher education policy boost intergenerational mobility? Evidence from an empirical matching model

Higher education policy potentially has an important role in improving intergenerational income mobility. We use rich administrative data to estimate a novel two-sided matching model of sorting into field and institution within higher education. We use it to simulate a wide set of policies aimed at boosting mobility. We find that substantially improving population-level mobility statistics with higher education policy is very difficult. However, there is considerable scope to narrow gaps in outcomes between richer and poorer students who leave school with good attainment levels. From a set of policies aimed at influencing student demand, we conclude that by far the most effective policies would target what people study, rather than whether or where they study. However, the biggest improvements in terms of mobility come from an aggressive policy that targets the supply side by enforcing universities to give preferential admission to poorer students who graduate near the top of their secondary school class. This policy would substantially narrow earnings gaps between richer and poorer students with good prior attainment, without significant costs to the taxpayer.

Language
Englisch

Bibliographic citation
Series: IFS Working Papers ; No. 23/06

Classification
Wirtschaft
Higher Education; Research Institutions
Education and Inequality
Returns to Education
Subject
Higher education choices
tuition fees

Event
Geistige Schöpfung
(who)
Britton, Jack
Dias, Mónica Costa
Goll, David
Event
Veröffentlichung
(who)
Institute for Fiscal Studies (IFS)
(where)
London
(when)
2023

DOI
doi:10.1920/wp.ifs.2023.0623
Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Britton, Jack
  • Dias, Mónica Costa
  • Goll, David
  • Institute for Fiscal Studies (IFS)

Time of origin

  • 2023

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