An Analysis of out of Pocket Education Expenditures in Turkey: Logit and Tobit Models

Abstract

This study used data acquired from the 2017 Household Budget Survey from the Turkish Statistical Institute andused Logit and Tobit models and researched the risk of out-of-pocket education expenditures creating catastrophicexpenditures. The study also researched the interactions of the out-of-pocket education expenditures by 20% incomequintile based on the socioeconomic properties of the household. As a result of the analysis, it was seen that thecatastrophic and out-of-pocket education expenditures increase in situations in which the household annual income,income quintiles, head of household age and education level increased and in which the household owns the housein which it resides. In case of difficult access to education services and increasing household size per equivalentindividual, it was seen that out-of-pocket education expenditures decreased. It was concluded that an increase in thenumber of preschool children and the number of children studying in primary school and university reduced bothexpenditures but that an increase in the number of children studying in high school increased these expenditures.