University Endowment Growth: Assessing Policy Proposals
dc.contributor.author | Milton, Ross T. | |
dc.contributor.author | Ehrenberg, Ronald G. | |
dc.date.accessioned | 2020-11-17T16:58:35Z | |
dc.date.available | 2020-11-17T16:58:35Z | |
dc.date.issued | 2014-09-01 | |
dc.description.abstract | The growth of college and university endowments, particularly those of elite schools, have drawn the attention of policymakers and pundits. Using a decomposition of the growth of endowments between 1991 and 2010 we simulate the effects of three prominent proposed policies had they been implemented in 1991 on endowment payouts through 2010: (1) a minimum spending rule, (2) removing full income tax deductibility of donations, and (3) taxing total endowment sizes beyond a given size. We find that a minimum spending rule increases the average size of endowment payouts for all quartiles of the endowment distribution in nearly all years of the sample period and has a modestly larger relative impact on richer schools. Removing tax deductibility decreases endowment payouts with its effect increasing over time. It has a larger relative impact on schools with smaller endowments than on richer schools. | |
dc.description.legacydownloads | WP162.pdf: 13 downloads, before Oct. 1, 2020. | |
dc.identifier.other | 15842428 | |
dc.identifier.uri | https://hdl.handle.net/1813/74803 | |
dc.language.iso | en_US | |
dc.rights | Required Publisher Statement: Published by the Cornell Higher Education Research Institute, ILR School, Cornell University. | |
dc.subject | higher education | |
dc.subject | endowments | |
dc.subject | distribution | |
dc.title | University Endowment Growth: Assessing Policy Proposals | |
dc.type | article | |
local.authorAffiliation | Milton, Ross T.: Cornell University | |
local.authorAffiliation | Ehrenberg, Ronald G.: rge2@cornell.edu Cornell University ILR School |
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