STATE MONOPOLY IN HIGHER EDUCATION AND ITS INFLUENCE ON WELFARE
The role of state monopoly as a source of rent-seeking behavior of universities and its influence on the quality of higher education, on the welfare of producers and consumers of educational services is analyzed. The role of licensing as a factor which increases the level of monopoly in the market of educational services is also considered. The influence of licensing on the welfare of consumers and possible producers of educational services is defined. The conditions of positive influence of licensing on welfare are revealed. The article also shows conditions and stages of reform in higher education which should reduce the level of monopoly in the market of higher education, and reveals the factors which oppose this process.