Arbeitspapier

Low-skilled immigration and the expansion of private schools

This paper provides a political-economic model to study the impact of low-skilled immigration on the host country's education system, which is characterized by sources of school funding, the average expenditure per pupil, and the type of parents who are more likely to send their children to publicly or privately funded schools. Four main effects of immigration are considered: (1) greater congestion in public schools; (2) a lower average tax base for education funding; (3) reduced wages for low-skilled workers and so more dependence by low-skilled locals on public education; (4) a greater skill premium, which makes it easier for high-skilled locals to afford private education for their children, and hence weakens their support for financing public school. It is found that when the size of low-skilled immigrants is large, the education regime tends to become more segregated with wealthier locals more likely to opt out of the public system into private schools. The fertility differential between high and low-skilled locals increases due to a quantity/quality trade-off. The theoretical predictions are consistent with empirical evidence from both the U.S. census data and the OECD Programme for International Student Assessment (2003).

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 3946

Classification
Wirtschaft
Publicly Provided Private Goods
National Government Expenditures and Education
Analysis of Education
Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Economic Development: Human Resources; Human Development; Income Distribution; Migration
Subject
Voting
taxes and subsidies
education
fertility
migration
Migranten
Ungelernte Arbeitskräfte
Fruchtbarkeit
Bildungswesen
Privatschule
Bildungsfinanzierung
Theorie

Event
Geistige Schöpfung
(who)
Dottori, Davide
Shen, I-ling
Event
Veröffentlichung
(who)
Institute for the Study of Labor (IZA)
(where)
Bonn
(when)
2009

Handle
URN
urn:nbn:de:101:1-20090209166
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Dottori, Davide
  • Shen, I-ling
  • Institute for the Study of Labor (IZA)

Time of origin

  • 2009

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