This session combines three papers that study the role of expectations and beliefs in education decisions in the context of Germany, drawing on classical and behavioural insights.
First, Grewenig, Lergetporer, Werner and Woessmann examine the role and formation of beliefs on monetary returns to educational investments, showing that incentives increase belief accuracy. Second, Berkes, Peter, Spiess and Weinhardt examine the role of expectations about pecuniary and non-pecunary returns of postgraduate education, which are manipulated experimentally, to show effects on beliefs, study intentions and decisions. Third, Kuebeler, Grenet and He examine the importance of the timing of offers in the university admission process. Using a behavioural model and detailed data on admissions that include information about the exact timing and acceptance of offers, they retionalize and show that early offers are more likely to be accepted even if from less desirable universities.