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Multi-product total cost functions for higher education: The case of Chinese research universities
Authors:Hou Longlong  Li Fengliang  Min Weifang
Institution:1. Institute of Education Economics, College of Education and Administration, Beijing Normal University, Beijing 100875, PR China;2. Institute of Education, Tsinghua University, Beijing 100084, PR China;3. Institute of Education Economics, Graduate School of Education, Peking University, Beijing 100871, PR China
Abstract:This paper empirically investigates the economies of scale and economies of scope for the Chinese research universities by employing the flexible fixed cost quadratic (FFCQ) function. The empirical results show that both economies of scale and economies of scope exist in the Chinese higher education system and support the commonly belief that universities as multi-product organizations.
Keywords:I21
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