Iyigun, Murat F.; Levin, Andrew T. - Federal Reserve Board (Board of Governors of the … - 1998
We present a public higher education model in which there exist indivisibilities in educational investment …. Consequently, when demand for educational services exceed supply, a screening mechanism, which may potentially be imperfect, is … devoted to public higher education. Moderate degrees of admission bias lower the share of resources devoted to public …