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How will an increase in state subsidies to public colleges affect the market for public and private colleges?.

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Parrain

Should there be an increase in state subsidies for public colleges, the result would be:

  • Increase in demand for public colleges.
  • Decrease in demand for private colleges.

Effects of subsidies for public colleges

  • More people would want to enroll in public colleges to take advantage of the subsidies.
  • There will be less people going to private colleges.

This means that public colleges will see their quantity demand increase and private colleges will suffer a loss in demand.

Find out more on the effects of subsidies at https://brainly.com/question/484094.

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