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The effect of Georgia’s HOPE scholarship on college major: a focus on STEM

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  • David Sjoquist
  • John Winters

Abstract

There is growing concern that the U.S. is producing too few college graduates in science, technology, engineering, and mathematics (STEM) fields, and there is a desire to understand how various policies affect college major decisions. This paper uses student administrative records from the University System of Georgia to examine whether and how Georgia’s HOPE Scholarship has affected students’ college major decisions, with a focus on STEM. We find that HOPE reduced the likelihood of earning a STEM degree. The research is complementary to a forthcoming paper by the authors, but using USG administrative records allows us to address several additional issues beyond the effect of merit aid on the likelihood of earning a STEM degree, including: the effect on initial major, earned major, and the transition between them; the roles of student ability, student performance, and institutional choice; and other possible mechanisms through which merit aid affects STEM education. JEL codes I23, J24 Copyright Sjoquist and Winters. 2015

Suggested Citation

  • David Sjoquist & John Winters, 2015. "The effect of Georgia’s HOPE scholarship on college major: a focus on STEM," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-29, December.
    • Handle: RePEc:spr:izalbr:v:4:y:2015:i:1:p:1-29:10.1186/s40172-015-0032-6
    DOI: 10.1186/s40172-015-0032-6
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    Cited by:

    1. Bruna Bruno & Marisa Faggini, 2021. "To be a STEM or not to be a STEM: Why do countries differ?," Growth and Change, Wiley Blackwell, vol. 52(3), pages 1535-1551, September.
    2. Podobnik, Boris & Dabić, Marina & Wild, Dorian & Di Matteo, Tiziana, 2023. "The impact of STEM on the growth of wealth at varying scales, ranging from individuals to firms and countries: The performance of STEM firms during the pandemic across different markets," Technology in Society, Elsevier, vol. 72(C).
    3. Hill, Andrew J., 2017. "State affirmative action bans and STEM degree completions," Economics of Education Review, Elsevier, vol. 57(C), pages 31-40.
    4. Brent J. Evans, 2017. "SMART Money: Do Financial Incentives Encourage College Students to Study Science?," Education Finance and Policy, MIT Press, vol. 12(3), pages 342-368, Summer.
    5. John V. Winters, 2017. "Do Native STEM Graduates Increase Innovation? Evidence from U.S. Metropolitan Areas," Economics Working Paper Series 1714, Oklahoma State University, Department of Economics and Legal Studies in Business.
    6. Nguyen, Hieu, 2020. "Free college? Assessing enrollment responses to the Tennessee Promise program," Labour Economics, Elsevier, vol. 66(C).
    7. Han, Luyi & Winters, John V., 2020. "Industry Fluctuations and College Major Choices: Evidence from an Energy Boom and Bust," Economics of Education Review, Elsevier, vol. 77(C).
    8. Winters, John V., 2014. "Foreign and Native-Born STEM Graduates and Innovation Intensity in the United States," IZA Discussion Papers 8575, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    Merit aid; HOPE scholarship; College major; STEM;
    All these keywords.

    JEL classification:

    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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