Title: Investing in Human Capital: A Capital Markets Approach to Student Funding
Publisher: Cambridge University Press
Publication Date: 2007
Language: English
ISBN 10: 0521039525
ISBN 13: 9780521039529
Binding: paperback
Condition: New
Weight: 14 ounces

About this title

Synopsis

This study recommends employing "human capital contracts" wherein students agree to pay a percentage of their income over time in exchange for funds to finance their education. The main difference between "human capital contracts" and loans is the variable value of the payments students make during the repayment period. Their financial consequences, of risk transfer from students to investors and increased information regarding future graduates' earnings, make the contracts an attractive alternative in funding higher education.

About the Author

Miguel Palacios Lleras is a Fellow at the Batten Institute, Darden School of Business Administration at the University of Virginia. He is the author of numerous papers on financing human capital and is co-founder of Lumni, a company that manages human capital funds.

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