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Abstract : This paper examines the interplay between public education expenditure and economic growth in a two-sector model. We reveal that agents- preferences for services, education and savings play a major role in the relationship between growth and public education expenditures, as long as production is taxed at a different rate in each sector.

Keywords : public education two-sector model sectoral taxes endogenous growth





Author: Marion Davin

Source: https://hal.archives-ouvertes.fr/



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