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A Cautionary Tale about Emergency Financial Assistance without Services: Evidence from a Randomized Controlled Trial Evaluation at a Community College

Author

Listed:
  • William N. Evans
  • Melissa S. Kearney
  • Brendan Perry
  • James X. Sullivan

Abstract

Community college completion rates are extremely low, especially among low-income students. One potential explanation is that low-income students have limited capacity to overcome financial shocks, such as large medical, legal, or car repair bills. Some programs offer "emergency financial assistance" (EFA) to prevent these events from curtailing educational progress. We test the efficacy of EFA within the context of a broader randomized controlled trial at a community college in Texas. We find no evidence that access to EFA alone leads to improved outcomes. We speculate that EFA will only be effective if it is paired with additional case management services.

Suggested Citation

  • William N. Evans & Melissa S. Kearney & Brendan Perry & James X. Sullivan, 2019. "A Cautionary Tale about Emergency Financial Assistance without Services: Evidence from a Randomized Controlled Trial Evaluation at a Community College," AEA Papers and Proceedings, American Economic Association, vol. 109, pages 218-222, May.
    • Handle: RePEc:aea:apandp:v:109:y:2019:p:218-22
    Note: DOI: 10.1257/pandp.20191014
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    File URL: https://www.aeaweb.org/doi/10.1257/pandp.20191014
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    Citations

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    Cited by:

    1. William N. Evans & Melissa S. Kearney & Brendan Perry & James X. Sullivan, 2020. "Increasing Community College Completion Rates Among Low‐Income Students: Evidence from a Randomized Controlled Trial Evaluation of a Case‐Management Intervention," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 39(4), pages 930-965, September.
    2. Anderson, Drew M., 2020. "When financial aid is scarce: The challenge of allocating college aid where it is needed most," Journal of Public Economics, Elsevier, vol. 190(C).

    More about this item

    JEL classification:

    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

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