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Merit-Aid and the Distribution of Entering Students Across Ontario Universities

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  • Martin D. Dooley
  • A. Abigail Payne
  • A. Leslie Robb

Abstract

Tuition levels at Ontario universities have risen along with the value of merit-based entry scholarships provided by the nineteen institutions in this relatively closed system. We use data on entering students from 1994 through 2005 and find that merit awards have at most a small effect on a universityÕs share of academically strong registrants. Such aid, however, is strongly associated with an increase in the ratio of students from low-income neighborhoods to students from high-income neighborhoods. Finally, although more advantaged students are more likely to attend university, merit aid is not strongly skewed towards the more advantaged conditional upon registration.

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File URL: http://socserv.mcmaster.ca/econ/rsrch/papers/archive/2009-12.pdf
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Bibliographic Info

Paper provided by McMaster University in its series Department of Economics Working Papers with number 2009-12.

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Length: 43 pages
Date of creation: Sep 2009
Date of revision:
Handle: RePEc:mcm:deptwp:2009-12

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Keywords: University; Merit Scholarships;

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References

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  1. Susan Dynarski, 2004. "The New Merit Aid," NBER Chapters, in: College Choices: The Economics of Where to Go, When to Go, and How to Pay For It, pages 63-100 National Bureau of Economic Research, Inc.
  2. Susan Dynarski, 2005. "Building the Stock of College-Educated Labor," NBER Working Papers 11604, National Bureau of Economic Research, Inc.
  3. Frenette, Marc, 2005. "The Impact of Tuition Fees on University Access: Evidence from a Large-scale Price Deregulation in Professional Programs," Analytical Studies Branch Research Paper Series 2005263e, Statistics Canada, Analytical Studies Branch.
  4. Susan Dynarski, 2000. "Hope for Whom? Financial Aid for the Middle Class and Its Impact on College Attendance," NBER Working Papers 7756, National Bureau of Economic Research, Inc.
  5. Rubenstein, Ross & Scafidi, Benjamin, 2002. "Who Pays and Who Benefits? Examining the Distributional Consequences of the Georgia Lottery for Education," National Tax Journal, National Tax Association, vol. 55(N. 2), pages 223-238, June.
  6. Mueller, Richard E. & Rockerbie, Duane, 2005. "Determining demand for university education in Ontario by type of student," Economics of Education Review, Elsevier, vol. 24(4), pages 469-483, August.
  7. Corak, Miles & Lipps, Garth & Zhao, John, 2004. "Family Income and Participation in Post-Secondary Education," IZA Discussion Papers 977, Institute for the Study of Labor (IZA).
  8. Dynarski, Susan, 2000. "Hope for Whom? Financial Aid for the Middle Class and Its Impact on College Attendance," National Tax Journal, National Tax Association, vol. 53(n. 3), pages 629-62, September.
  9. Christopher M. Cornwell & David B. Mustard & Deepa Sridhar, 2005. "The Enrollment Effects of Merit-Based Financial Aid: Evidence from Georgia's HOPE Scholarship," HEW 0501002, EconWPA.
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