The Effects of Governmental Subsidy on the Quality of Education in Taiwan’s Private Universities and Colleges

Abstract : The government arranges subsidies for private colleges annually with excellent academic performance. In order to justify if government subsidies can enhance the quality of education, this paper will investigate the relationship between governmental subsidy and education quality of Taiwanese private universities and colleges through data envelopment analysis and regression analysis on research data. Empirical results for the principles of the current government allocation of funds to provide advice, expect to enhance the quality of education, more limited government resources for the best allocation.