Talk:Underconsumption

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For the word 'underconsume':

People will underconsume because they are unwilling to pay for benefits that accrue to society at large. They will underconsume because they don't understand the benefits of higher education, they are unable to properly evaluate long-term benefits, and those who enjoy the bulk of the benefits are not usually in a position to finance the expenditure themselves. All of these factors suggest that government subsidies designed to increase participation in higher education may increase economic efficiency

The discussion is from http://www.ed.gov/offices/OPE/PPI/FinPostSecEd/baum.html

By Sandy Baum, October 1995

In his work: The Federal Role in Financing Higher Education: An Economic Perspective

Form Book: Financing Postsecondary Education: The Federal Role -

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Talk:Underconsumption

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