Abstract We study whether college admissions should implement quotas for lower-income applicants. develop an overlapping-generation model and calibrate it to data from Brazil, where such a policy is widely implemented. In our model, parents choose how much invest in their child’s education, thereby increasing both human capital likelihood of admission. find that, the long run, optimal income-ba...

This paper explains people’s preferences for ethnic and racial diversity in higher education through a model based on self interest. Although all citizens from the majority group value diversity and their own education in the same way, their preferences for the level of diversity as well as the means of achieving it depend on their competitive positions in university admissions. High-income maj...