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Assessing a higher education project: a Mauritius feasibility study

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The paper presents a cost-benefit analysis of a higher education project in Mauritius by using the rate of return and net present value methods, from the individual student and society's point of view. Although there exists a very rich literature on cost-benefit analysis of an education sector as a whole, we are not aware of published estimates at the individual project level. Monte Carlo techniques are used to test the robustness of the estimates regarding the costs and the benefits associated with this project. The results show that all programmes considered are good investments from both the private and the social point of view, although some programmes are more profitable than others. One important finding is that the combination of progressive taxation and the payment of tuition fees by students brings the private and social returns of this project to equilibrium.
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Document Type: Research Article

Publication date: 01 January 1999

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