Cremer, Helmuth; Donder, Philippe De; Pestieau, Pierre - CESifo - 2010
This paper shows that the design of education policy involves a potential conflict between welfare and social mobility …. We consider a setting in which social mobility is maximized under the least elitist public education system, whereas … welfare maximization calls for the most elitist system. We show that when private education is available, the degree of …