%0 Report
        %A Ketel, Nadine
%A Linde, Jona
%A Oosterbeek, Hessel
%A Klaauw, Bas van der
        %T Tuition Fees as a Commitment Device
        %D 2014
        %8 2014 Feb
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 7951
        %U https://www.iza.org/index.php/publications/dp7951
        %X This paper reports on a field experiment testing for sunk-cost effects in an education setting. Students signing up for extra-curricular tutorial sessions randomly received a discount on the tuition fee. The sunk-cost effect predicts that students who receive larger discounts will attend fewer tutorial sessions. For the full sample, we find little support for this hypothesis, but we find a significant effect of sunk costs on attendance for the 45% of students in our sample who are categorized as sunk-cost prone based on hypothetical survey questions. For them higher tuition fees can serve as a commitment device to attend classes.
        %K field experiment
%K higher education
%K sunk-cost effect