Enrollment and Curriculum: A Laffer Curve Analysis


Publication: Journal of Economic Education

Volume: Volume 33, No. 1

Issue: Winter 2002

Pages: 73-82

Author(s): Stephen Shmanske

Address (Principal Author):Stephen Shmanske
Department of Economics
California State University, Hayward
Hayward, CA 94542
Phone: (510) 528-0506
Fax: (510) 885-4796

Internet Address (Principal Author):sshmansk@csuhayward.edu

Title: Enrollment and Curriculum: A Laffer Curve Analysis

Abstract: If an institution of higher education toughens its standards, there will be two opposite effects on enrollment. First, the demand for enrollment places can be expected to increase because higher expected wages upon graduation. Second, the pool of students who are both eligible to enroll and able to complete the program is diminished, having a negative effect on enrollment. A"Laffer curve" is shown to depict the relationship between enrollment and toughness of standards.

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