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Crafting A Class: The Trade Off Between Merit Scholarships and Enrolling Lower-Income Students

Author

Listed:
  • Ronald G. Ehrenberg
  • Liang Zhang
  • Jared Levin

Abstract

Our paper uses institutional-level panel data to testwhether an increase in the number of institutionally funded National Merit Scholarship (NMS) winners at an institution isassociated with a reduction in the number of Pell Grant recipients at the institution. We find that, other factors held constant, an increase in the share of institutionally funded NMS winners in an institution's first-year class is associated with a reduction in the share of Pell Grant recipients among the institution's undergraduate student body and that the magnitude of this relationship is larges at the institutions that enroll the greatest number of NMS students.

Suggested Citation

  • Ronald G. Ehrenberg & Liang Zhang & Jared Levin, 2005. "Crafting A Class: The Trade Off Between Merit Scholarships and Enrolling Lower-Income Students," NBER Working Papers 11437, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:11437
    Note: ED LS
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    References listed on IDEAS

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    1. repec:mpr:mprres:3250 is not listed on IDEAS
    2. Neil S. Seftor & NSarah E. Turner, 2002. "Back to School: Federal Student Aid Policy and Adult College Enrollment," Journal of Human Resources, University of Wisconsin Press, vol. 37(2), pages 336-352.
    3. Christopher Avery & Caroline Minter Hoxby, 2004. "Do and Should Financial Aid Packages Affect Students' College Choices?," NBER Chapters, in: College Choices: The Economics of Where to Go, When to Go, and How to Pay For It, pages 239-302, National Bureau of Economic Research, Inc.
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    Cited by:

    1. Griffith, Amanda L., 2011. "Keeping up with the Joneses: Institutional changes following the adoption of a merit aid policy," Economics of Education Review, Elsevier, vol. 30(5), pages 1022-1033, October.

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    More about this item

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • J4 - Labor and Demographic Economics - - Particular Labor Markets

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