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Resident and Nonresident Tuition and Enrollment at Flagship State Universities

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  • Michael J. Rizzo
  • Ronald G. Ehrenberg

Abstract

We address the determinants of resident and nonresident tuition and enrollment at public universities. A key explanatory variable is the share of out-of-state students enrolled under reciprocity agreements. We find that public universities use out-of-state enrollments primarily to augment student quality, not to make up for losses in state appropriations.In the main out-of-state enrollment levels are relatively insensitive to out-of-state tuition levels charged by institutions. Finally, we find no evidence that public universities increase their in-state or out-of-state tuition levels in response to increased federal or state financial aid for students.

Suggested Citation

  • Michael J. Rizzo & Ronald G. Ehrenberg, 2003. "Resident and Nonresident Tuition and Enrollment at Flagship State Universities," NBER Working Papers 9516, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:9516
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    Cited by:

    1. Fethke, Gary, 2005. "Strategic determination of higher education subsidies and tuitions," Economics of Education Review, Elsevier, vol. 24(5), pages 601-609, October.
    2. Joan Rosselló, 2007. "Does a public university system avoid the stratification of public universities and the segregation of students?," DEA Working Papers 26, Universitat de les Illes Balears, Departament d'Economía Aplicada.
    3. Orkodashvili, Mariam, 2008. "Reversing a Balance Wheel Principle and Changing a Roller Coaster Pattern," MPRA Paper 16401, University Library of Munich, Germany.
    4. Fethke, Gary, 2011. "Welfare effects of subsidizing higher education when access and quality are endogenous," Economics Letters, Elsevier, vol. 112(1), pages 45-48, July.
    5. Burer, Samuel & Fethke, Gary, 2016. "Nearly-efficient tuitions and subsidies in American public higher education," Economics of Education Review, Elsevier, vol. 55(C), pages 182-197.
    6. Singell, Larry Jr. & Stone, Joe A., 2007. "For whom the Pell tolls: The response of university tuition to federal grants-in-aid," Economics of Education Review, Elsevier, vol. 26(3), pages 285-295, June.
    7. Hemelt, Steven W. & Marcotte, Dave E., 2008. "Rising Tuition and Enrollment in Public Higher Education," IZA Discussion Papers 3827, Institute for the Study of Labor (IZA).
    8. Michael J. Rizzo, 2005. "The public interest in higher education," Proceedings, Federal Reserve Bank of Cleveland, pages 19-45.
    9. Yuexing Lan & John V Winters, 2011. "Did the D.C. Tuition Assistance Grant Program Cause Out-of-State Tuition to Increase?," Economics Bulletin, AccessEcon, vol. 31(3), pages 2444-2453.
    10. Stephanie Riegg Cellini, 2010. "Financial aid and for-profit colleges: Does aid encourage entry?," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 29(3), pages 526-552.
    11. Matthew Nagler, 2008. "Funding Shocks and Optimal University Admissions and Financial Aid Policies," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 36(3), pages 345-358, September.
    12. repec:eee:ecoedu:v:60:y:2017:i:c:p:1-4 is not listed on IDEAS
    13. Orkodashvili, Mariam, 2007. "Higher Education Funding Issues: U.S. / UK Comparison," MPRA Paper 16417, University Library of Munich, Germany.
    14. Dwenger, Nadja & Storck, Johanna & Wrohlich, Katharina, 2012. "Do tuition fees affect the mobility of university applicants? Evidence from a natural experiment," Economics of Education Review, Elsevier, vol. 31(1), pages 155-167.
    15. Turner, Nick, 2010. "Who Benefits From Student Aid? The Economic Incidence of Tax-Based Federal Student Aid," University of California at San Diego, Economics Working Paper Series qt7g0888mj, Department of Economics, UC San Diego.

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    JEL classification:

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

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