IDEAS home Printed from https://ideas.repec.org/p/nbr/nberwo/10112.html
   My bibliography  Save this paper

Financial Aid and Students' College Decisions: Evidence from the District of Columbia's Tuition Assistance Grant Program

Author

Listed:
  • Katharine Abraham
  • Melissa A. Clark

Abstract

The District of Columbia's Tuition Assistance Grant Program (DCTAG), instituted in 1999, allows DC residents to attend public colleges and universities throughout the country at considerably lower in-state tuition rates. We use the sharp decline in the price of public colleges and universities faced by residents of the District of Columbia under DCTAG to estimate the effects of price on students' college application and enrollment decisions. Using a sample of students from nearby large cities as a control group, we find that the number and share of DC residents applying to four-year colleges increased substantially under the program, and students were considerably more likely to apply to colleges that were eligible for the subsidy. Freshmen enrollments of DC residents also increased substantially at eligible institutions, although the effect on overall freshmen enrollments of DC residents was fairly modest, suggesting that in its first year the subsidy had more of an impact on where students chose to attend than on whether they chose to attend college at all.

Suggested Citation

  • Katharine Abraham & Melissa A. Clark, 2003. "Financial Aid and Students' College Decisions: Evidence from the District of Columbia's Tuition Assistance Grant Program," NBER Working Papers 10112, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:10112
    Note: CF LS PE
    as

    Download full text from publisher

    File URL: http://www.nber.org/papers/w10112.pdf
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Dynarski, Susan, 2000. "Hope for Whom? Financial Aid for the Middle Class and Its Impact on College Attendance," National Tax Journal, National Tax Association;National Tax Journal, vol. 53(3), pages 629-662, September.
    2. 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.
    3. 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, Oxford University Press, vol. 117(4), pages 1491-1527.
    4. David M. Linsenmeier & Harvey S. Rosen & Cecilia Elena Rouse, 2006. "Financial Aid Packages and College Enrollment Decisions: An Econometric Case Study," The Review of Economics and Statistics, MIT Press, vol. 88(1), pages 126-145, February.
    5. Wilbert van der Klaauw, 2002. "Estimating the Effect of Financial Aid Offers on College Enrollment: A Regression-Discontinuity Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 43(4), pages 1249-1287, November.
    6. Thomas J. Kane, 2003. "A Quasi-Experimental Estimate of the Impact of Financial Aid on College-Going," NBER Working Papers 9703, National Bureau of Economic Research, Inc.
    7. Susan Dynarski, 2002. "The Behavioral and Distributional Implications of Aid for College," American Economic Review, American Economic Association, vol. 92(2), pages 279-285, May.
    Full references (including those not matched with items on IDEAS)

    More about this item

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:10112. 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: () or (Joanne Lustig). General contact details of provider: http://edirc.repec.org/data/nberrus.html .

    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 CitEc recognized a reference but did not link an item in RePEc 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.