Advanced Search
MyIDEAS: Login to save this paper or follow this series

Financial incentives and study duration in higher education

Contents:

Author Info

  • Trude Gunnes

    ()
    (Department of Economics, Norwegian University of Science and Technology)

  • Lars J. Kirkebøen
  • Marte Rønning

Abstract

The current paper investigates to which extent students in higher education respond to financial incentives by adjusting their study behavior. Students in Norway who completed certain graduate study programs between 1991 and 1995 on stipulated time were entitled to a restitution (of approximately 3,000 USD) from the Norwegian State Educational Loan Fund. Using a difference-in-difference approach, we find that the fraction of students graduating on time during the reform period increased by 10 percent, relative to a base probability of about 25 percent. The estimated effect for fully treated students (students who were aware of the reform from the start of their studies) is much higher, at 50 percent.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.svt.ntnu.no/iso/WP/2011/6_fininc.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Department of Economics, Norwegian University of Science and Technology in its series Working Paper Series with number 11511.

as in new window
Length: 22 pages
Date of creation: 05 May 2011
Date of revision:
Handle: RePEc:nst:samfok:11511

Contact details of provider:
Postal: 7491 Trondheim
Phone: 73 59 19 40
Fax: 73 59 69 54
Email:
Web page: http://www.svt.ntnu.no/iso/WP/wp.htm
More information through EDIRC

Related research

Keywords:

Other versions of this item:

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Helena Skyt Nielsen & Torben S�rensen & Christopher Taber, 2010. "Estimating the Effect of Student Aid on College Enrollment: Evidence from a Government Grant Policy Reform," American Economic Journal: Economic Policy, American Economic Association, vol. 2(2), pages 185-215, May.
  2. Edwin Leuven & Hessel Oosterbeek & Bas van der Klaauw, 2006. "The effect of financial rewards on students' achievement: Evidence from a randomized experiment," Artefactual Field Experiments 00078, The Field Experiments Website.
  3. Assar Lindbeck & Sten Nyberg & Jšrgen W. Weibull, 1999. "Social Norms And Economic Incentives In The Welfare State," The Quarterly Journal of Economics, MIT Press, vol. 114(1), pages 1-35, February.
  4. Adam Booij & Edwin Leuven & Hessel Oosterbeek, 2008. "The Role of Information in the Take-up of Student Loans," Tinbergen Institute Discussion Papers 08-039/3, Tinbergen Institute.
  5. Ruhm, Christopher J, 1997. "Is High School Employment Consumption or Investment?," Journal of Labor Economics, University of Chicago Press, vol. 15(4), pages 735-76, October.
  6. Häkkinen, Iida & Uusitalo, Roope, 2003. "The Effect of a Student Aid Reform on Graduation: A Duration Analysis," Working Paper Series 2003:8, Uppsala University, Department of Economics.
  7. Basit Zafar, 2013. "College Major Choice and the Gender Gap," Journal of Human Resources, University of Wisconsin Press, vol. 48(3), pages 545-595.
  8. Holmstrom, Bengt & Milgrom, Paul, 1987. "Aggregation and Linearity in the Provision of Intertemporal Incentives," Econometrica, Econometric Society, vol. 55(2), pages 303-28, March.
  9. Susan M. Dynarski, 2003. "Does Aid Matter? Measuring the Effect of Student Aid on College Attendance and Completion," American Economic Review, American Economic Association, vol. 93(1), pages 279-288, March.
  10. Dynarski, Susan, 2004. "The New Merit Aid," Working Paper Series rwp04-009, Harvard University, John F. Kennedy School of Government.
    • 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.
  11. Brunello, Giorgio & Winter-Ebmer, Rudolf, 2002. "Why Do Students Expect to Stay Longer in College? Evidence from Europe," IZA Discussion Papers 658, Institute for the Study of Labor (IZA).
  12. Martin Heineck & Mathias Kifmann & Normann Lorenz, 2006. "A Duration Analysis of the Effects of Tuition Fees for Long-Term Students in Germany," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 226(1), pages 82-109, January.
  13. Light, Audrey, 2001. "In-School Work Experience and the Returns to Schooling," Journal of Labor Economics, University of Chicago Press, vol. 19(1), pages 65-93, January.
  14. Juanna Schrøter Joensen, 2010. "Timing and Incentives: Impacts of Student Aid on Academic Achievement," 2010 Meeting Papers 823, Society for Economic Dynamics.
  15. John Bound & Sarah Turner, 2007. "Understanding the Increased Time to the Baccalaureate Degree," Discussion Papers 06-043, Stanford Institute for Economic Policy Research.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:nst:samfok:11511. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Marit Balstad Jensen) The email address of this maintainer does not seem to be valid anymore. Please ask Marit Balstad Jensen to update the entry or send us the correct address.

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.