Research Article

Optimal Educational Investment: Domestic Equity and International Competition

Table 3

Optimal rates of tax and education under various parameter assumptions in the international model with income distribution considerations.

Model

Nash
Cooperative
0.02
0.02
0.02
0.02
0.1451
0.1451
0.1451
0.1451
1.0193
1.0193
1.0271
1.0271

Nash
Cooperative
0.05
0.05
0.07
0.06
0.2418
0.2418
0.2895
0.2665
1.0703
1.0703
1.0952
1.0955

Nash
Cooperative
0.09
0.09
0.11
0.10
0.3480
0.3480
0.3894
0.3691
1.1458
1.1458
1.1934
1.1937

Note. See notes to Table 2.