Public in-Person University Education: Demand and Supply Mismatch
Fecha: noviembre 2024
Aitor Lacuesta, Marta Martínez-Matute, Jorge Sainz, Ismael Sanz
University, field of study performance, grade inflation
Beyond Ivory Tower. Navigating Higher Education in the Future
This study explores the potential mismatch between demand and supply of university degrees in Spain in the context of structural change in labor demand. Our investigation analyzes the trend of students seeking studies in other regions that are not their usual residence. It is observed that certain universities have increased the number of courses offered without increasing the number of places available potentially worsening the mismatch between supply and demand. The courses with greater access barriers in 2022 yielded higher salaries for their graduates in previous years, although no direct relationship was found between the number of places offered and future job opportunities. In addition, we integrate a review of international literature shedding light on how income expectations, perceived skills, and personal preferences play a crucial role in the choice of degree. Our findings show that although there are moderate elasticities between the choice of degree and expected earnings, subjective
expectations are the dominant factor.