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Affirmative action and university fit: evidence from Proposition 209

  • Peter Arcidiacono
  • Esteban Aucejo
  • Patrick Coate
  • V. Joseph Hotz
Registered author(s):

    Proposition 209 banned the use of racial preferences in admissions at public colleges in California. We analyze unique data for all applicants and enrollees within the University of California (UC) system before and after Prop 209. After Prop 209, graduation rates increased by 4.4%. We present evidence that certain institutions are better at graduating more-prepared students while other institutions are better at graduating less-prepared students and that these matching effects are particularly important for the bottom tail of the qualification distribution. We find that Prop 209 led to a more efficient sorting of minority students and the sorting effects explain over 20% of the graduation rate increase. Further, universities appear to have responded to Prop 209 by investing more in their students, explaining between 30-45% of the graduation rate increase.

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    File URL: http://eprints.lse.ac.uk/51565/
    File Function: Open access version.
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    Paper provided by London School of Economics and Political Science, LSE Library in its series LSE Research Online Documents on Economics with number 51565.

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    Length: 40 pages
    Date of creation: 2013
    Date of revision:
    Handle: RePEc:ehl:lserod:51565
    Contact details of provider: Postal: LSE Library Portugal Street London, WC2A 2HD, U.K.
    Phone: +44 (020) 7405 7686
    Web page: http://www.lse.ac.uk/
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    1. Peter Arcidiacono & Esteban M. Aucejo & Hanming Fang & Kenneth I. Spenner, 2009. "Does Affirmative Action Lead to Mismatch? A New Test and Evidence," NBER Working Papers 14885, National Bureau of Economic Research, Inc.
    2. Bound, John & Turner, Sarah, 2007. "Cohort crowding: How resources affect collegiate attainment," Journal of Public Economics, Elsevier, vol. 91(5-6), pages 877-899, June.
    3. John Bound & Michael F. Lovenheim & Sarah Turner, 2010. "Why Have College Completion Rates Declined? An Analysis of Changing Student Preparation and Collegiate Resources," American Economic Journal: Applied Economics, American Economic Association, vol. 2(3), pages 129-57, July.
    4. Mark C. Long, 2004. "Race and College Admissions: An Alternative to Affirmative Action?," The Review of Economics and Statistics, MIT Press, vol. 86(4), pages 1020-1033, November.
    5. Peter Arcidiacono & Cory Koedel, 2013. "Race and College Success: Evidence from Missouri," NBER Working Papers 19188, National Bureau of Economic Research, Inc.
    6. Peter Hinrichs, 2012. "The Effects of Affirmative Action Bans on College Enrollment, Educational Attainment, and the Demographic Composition of Universities," The Review of Economics and Statistics, MIT Press, vol. 94(3), pages 712-722, August.
    7. John Bound & Michael F. Lovenheim & Sarah Turner, 2010. "Increasing Time to Baccalaureate Degree in the United States," NBER Working Papers 15892, National Bureau of Economic Research, Inc.
    8. Stacy Berg Dale & Alan B. Krueger, 2002. "Estimating The Payoff To Attending A More Selective College: An Application Of Selection On Observables And Unobservables," The Quarterly Journal of Economics, MIT Press, vol. 117(4), pages 1491-1527, November.
    9. Dennis Epple & Richard Romano & Holger Sieg, 2008. "Diversity and Affirmative Action in Higher Education," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 10(4), pages 475-501, 08.
    10. Jesse Rothstein & Albert H. Yoon, 2008. "Affirmative Action in Law School Admissions: What Do Racial Preferences Do?," NBER Working Papers 14276, National Bureau of Economic Research, Inc.
    11. Black, Dan A. & Smith, J.A.Jeffrey A., 2004. "How robust is the evidence on the effects of college quality? Evidence from matching," Journal of Econometrics, Elsevier, vol. 121(1-2), pages 99-124.
    12. Hinrichs, Peter, 2014. "Affirmative action bans and college graduation rates," Economics of Education Review, Elsevier, vol. 42(C), pages 43-52.
    13. Caroline M. Hoxby, 2009. "The Changing Selectivity of American Colleges," Journal of Economic Perspectives, American Economic Association, vol. 23(4), pages 95-118, Fall.
    14. Eleanor Wiske Dillon & Jeffrey Andrew Smith, 2013. "The Determinants of Mismatch Between Students and Colleges," NBER Working Papers 19286, National Bureau of Economic Research, Inc.
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