Abstract
While Australian evidence suggests that the Private Rate of Return (PRR) to a university degree in Australia has gradually declined with increases in the cost of higher education, these studies have only measured the PRR for the average male and average female. This paper uses income data from the ABS Income and Housing Survey (2003-04) CURF to measure the impact of the 2005 increase in HECS fees on the PRR based on gender and marital status. This paper shows that the return to a university degree is largely affected by both gender and marital status and studies that measure the PRR to a university degree for single males and single females with no dependent children underestimate the PRR for most male graduates and overestimate the PRR of female graduates.
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