This book examines the many ways in which economic concepts, theories and models can be used to examine issues in higher education. The topics explored in the book include how students make college-going decisions, the payoffs to students and society from going to college, markets for higher education services, demand and supply in markets for higher education, why and how state and federal governments intervene in higher education markets, college and university revenues and expenditures, how institutions use net-pricing strategies and non-price product-differentiation strategies to pursue their goals and to compete in higher education markets, as well as issues related to faculty labor markets. The book is written for both economists and non-economists who study higher education issues and provides readers with background information and thorough explanations and illustrations of key economic concepts. In addition to reviewing the contributions economists have made to the study of higher education, it also examines recent research in each of the major topical areas. The book is policy-focused and each chapter analyses how contemporary higher education policies affect the behaviour of students, faculty and/or institutions of higher education. "Toutkoushian and Paulsen attempted a daunting task: to write a book on the economics of higher education for non-economists that is also useful to economists. A book that could be used for reference and as a textbook for higher education classes in economics, finance, and policy. They accomplish this tough balancing act with stunning success in a large volume that will serve as the go-to place for anyone interested in the history and current thinking on the economics of higher education." William E. Becker, Jr., Professor Emeritus of Economics, Indiana University

This ground-breaking and exhaustive analysis of university ranking surveys scrutinizes their theoretical bases, methodological issues, societal impact, and policy implications, providing readers with a deep understanding of these controversial comparators. The authors propose that university rankings are misused by policymakers and institutional leaders alike. They assert that these interested parties overlook the highly problematic internal logic of ranking methodologies even as they obsess over the surveys' assessment of their status. The result is that institutions suffer from short-termism, realigning their resources to maximize their relative rankings. While rankings are widely used in policy and academic discussions, this is the first book to explore the theoretical and methodological issues of ranking itself. It is a welcome contribution to an often highly charged debate. Far from showing how to manipulate the system, this collection of work by key researchers aims to enlighten interested parties.

This ground-breaking and exhaustive analysis of university ranking surveys scrutinizes their theoretical bases, methodological issues, societal impact, and policy implications, providing readers with a deep understanding of these controversial comparators. The authors propose that university rankings are misused by policymakers and institutional leaders alike. They assert that these interested parties overlook the highly problematic internal logic of ranking methodologies even as they obsess over the surveys assessment of their status. The result is that institutions suffer from short-termism, realigning their resources to maximize their relative rankings. While rankings are widely used in policy and academic discussions, this is the first book to explore the theoretical and methodological issues of ranking itself. It is a welcome contribution to an often highly charged debate. Far from showing how to manipulate the system, this collection of work by key researchers aims to enlighten interested parties."

This book examines the many ways in which economic concepts, theories and models can be used to examine issues in higher education. The topics explored in the book include how students make college-going decisions, the payoffs to students and society from going to college, markets for higher education services, demand and supply in markets for higher education, why and how state and federal governments intervene in higher education markets, college and university revenues and expenditures, how institutions use net-pricing strategies and non-price product-differentiation strategies to pursue their goals and to compete in higher education markets, as well as issues related to faculty labor markets. The book is written for both economists and non-economists who study higher education issues and provides readers with background information and thorough explanations and illustrations of key economic concepts. In addition to reviewing the contributions economists have made to the study of higher education, it also examines recent research in each of the major topical areas. The book is policy-focused and each chapter analyses how contemporary higher education policies affect the behaviour of students, faculty and/or institutions of higher education. "Toutkoushian and Paulsen attempted a daunting task: to write a book on the economics of higher education for non-economists that is also useful to economists. A book that could be used for reference and as a textbook for higher education classes in economics, finance, and policy. They accomplish this tough balancing act with stunning success in a large volume that will serve as the go-to place for anyone interested in the history and current thinking on the economics of higher education." William E. Becker, Jr., Professor Emeritus of Economics, Indiana University