Prossimo ricevimento, lunedì 22/10/2018 ore 14.30-15.30
An empirical assessment of households sorting into private schooling under public education provision
We estimate structural quantile treatment effects to analyze the relationship between household income and the decision of sorting into private or public education, using Italian data. We exploit heterogeneity in expected tax deductions to exogenously manipulate the distribution of net of taxes income, equivalized by family needs, and explore the consequences of this manipulation on various quantiles of the distribution of the amount of the educational transfers in kind accruing to the households, valuing public education. For mandatory education, we find that an increase in income reduces the amount of educational transfers in kind (i) more for higher quantiles of the educational transfers in kind, indicating that households with higher preferences for the quality of the private education are keen to renounce to public education; (ii) more for lower quantiles of the households' income capacity, indicating that richer households receive lower transfers for a given preference for educational quality.