Abstract:
The general goal of this study is to orientate policymaker’ decisions in the academic field and in the proper use of
public funds that currently finance the activities of the Facultad de Economía y Negocios ESPOL (FEN). To fulllfil
this goal, it is needed to know the students’ economic valuation toward gratuitous education offered by this
Faculty. This study is developed using truncated variable models (Tobit model) between the level of willingness to
pay (WTP) as the dependent variable and socioeconomic variables and related to the academic field as the
independent variables. On the other hand, in order to contrast the results of the previous model, a probability
model (Logit Model) is used to compute the probability of revealing a positive WTP; in this model, the dependent
variable is a binary one that takes the value of one if the person accepted given policy or zero otherwise. The
results show that variables such as professors’ discouragement perceived by students, are determinants of how
worse is the education level in FEN. In addition, the results show evidence that the quality in the academic field
has worsen, and this result is influenced the number of registered subjects and the students’ interest in FEN.
Finally, the policy of starting a university press business was accepted by most of the students.
