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The economics of education and policy: Ideas for a principles course
Authors:Cecilia Elena Rouse
Affiliation:Woodrow Wilson School of Public and International Affairs, Princeton University, Princeton, NJ, USA
Abstract:There are many aspects of the “economics of education” that would make excellent examples for introductory economics students. The author presents two topics that are central to the economics of education and to human capital theory: the economic benefit (or “returns”) to schooling and educational attainment as an investment. There are two key concepts the author hopes students get from this discussion. The first is that there are both private and social benefits of schooling whence we derive the rationale for government intervention. The second is that educational attainment is an investment decision with both costs and benefits, and some risk.
Keywords:Economics of education  educational attainment  returns to schooling  teaching economics principles
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