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Do student loans improve accessibility to higher education and student performance? An impact study of the SOFES program in Mexico

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  • Erik Canton
  • A. Blom

Abstract

Financial aid to students in tertiary education can contribute to human capital accumulation through two channels: increased enrolment and improved student performance. We analyse the quantitative importance of both channels in the context of a student loan program (SOFES) implemented at private universities in Mexico. With regard to the first channel, results from the Mexican household survey indicate that financial support has a strongly positive effect on university enrolment. Two data sources are used to investigate the second channel, student performance. Administrative data provided by SOFES are analysed using a Regression-Discontinuity design, and survey data enable us to perform a similar analysis using a different control group. The empirical results suggest that SOFES recipients (i) show better academic performance, and (ii) tend to have more part-time jobs than students without a credit from SOFES.

Suggested Citation

  • Erik Canton & A. Blom, 2004. "Do student loans improve accessibility to higher education and student performance? An impact study of the SOFES program in Mexico," CPB Discussion Paper 33, CPB Netherlands Bureau for Economic Policy Analysis.
    • Handle: RePEc:cpb:discus:33
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    Cited by:

    1. Marc Gurgand & Adrien Lorenceau & Thomas Mélonio, 2011. "Student loans: Liquidity constraint and higher education in South Africa," Working Papers halshs-00590898, HAL.
    2. Maria Ines Barbosa Camargo, 2015. "Efectos de los mecanismos de financiación en el acceso a la educación superior en Colombia," Investigaciones de Economía de la Educación volume 10, in: Marta Rahona López & Jennifer Graves (ed.), Investigaciones de Economía de la Educación 10, edition 1, volume 10, chapter 5, pages 115-134, Asociación de Economía de la Educación.
    3. Erik Canton & Bert Minne & Ate Nieuwenhuis & Bert Smid & Marc van der Steeg, 2005. "Human capital, R&D, and competition in macroeconomic analysis," CPB Document 91.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    4. Marc van der Steeg, 2005. "Why should governments intervene in education, and how effective is education policy," CPB Memorandum 122, CPB Netherlands Bureau for Economic Policy Analysis.

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    More about this item

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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