Educational Policy in a Credit Constrained Economy with Skill Heterogeneity*
构建了一个世代交叠模型，分析信贷约束如何影响教育选择和利率，并探讨公共教育政策能否改善信贷市场不完美导致的效率损失。
An overlapping‐generations model where agents choose whether to become educated when young is presented. Education enhances productivity, but needs to be financed by borrowing. Because of the possibility of default, lenders may ration credit. We characterize the steady‐state equilibrium with and without credit constraints and show that credit constraints are associated with lower education and a lower real interest rate. We then study the role of public policy in remedying the inefficiency which occurs with credit market imperfections and examine whether public education can improve on the constrained equilibrium.