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KDI JEP The Effects of Parental Competitive Pressure on Private Education Investment May 31, 2026

KDI JEP
KDI JEP The Effects of Parental Competitive Pressure on Private Education Investment #General(Other)

May 31, 2026

  • 프로필
    Sungmin Han
  • KDI
    HAN, Sung-joo

In South Korea, education serves as a critical engine for social mobility, where academic credentials from prestigious universities function as a decisive factor in shaping career trajectories and earning potential. This dynamic has fostered intense educational fervor and led to the proliferation of a massive private education market. This study empirically examines the relationship between parental competitive pressure defined as a synthesis of achievement expectations and anxiety and investment in private education within a highly competitive educational environment. The analysis shows that private education expenditures are positively associated with parental competitive pressure. Notably, this increase occurs primarily through greater spending rather than an increase in total tutoring hours. This pattern suggests that, given children’s time constraints, highly pressured parents strategically prioritize quality over quantity. Furthermore, the effect varies across family backgrounds, indicating that reliance on private education reflects the interplay between socio-structural factors and household resources, thereby reproducing inter generational educational inequality. Overall, it was found that dependence on private education is a structural phenomenon amplified by status competition within a success-oriented society. Consequently, policy interventions should shift away from superficial regulations and focus on addressing the fundamental socioeconomic drivers of parental competitive pressure.

Contents
The Effects of Parental Competitive Pressure on Private Education Investment
 I. Introduction
 II. Existing Literature
 III. Competitive Environment in South Korea
 IV. Empirical Analysis
 V. Empirical Results
 VI. Conclusion and Policy Implications
 APPENDIX
 REFERENCES
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