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Assesing the smpact of a student loan program on time-to-degree: The case of a program in Peru

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  • Luis García

    (Departamento de Economía de la PUC del Perú)

Abstract

This paper evaluates the impact of a student loan program on time-to-degree for undergraduate students at a large university in Peru. The loans have been provided to low-income students who display satisfactory academic performance. The decision whether to apply for a loan depends on each student; therefore, simple regression analysis may fail to estimate the impact due to the problem of endogenous regresor. In this study, an instrumental variable approach is employed, and it is found that students with loans obtain their degrees more rapidly than similar students without loans. JEL Classification-JEL: C13, C14, C21, I22

Suggested Citation

  • Luis García, 2014. "Assesing the smpact of a student loan program on time-to-degree: The case of a program in Peru," Documentos de Trabajo / Working Papers 2014-375, Departamento de Economía - Pontificia Universidad Católica del Perú.
    • Handle: RePEc:pcp:pucwps:wp00375
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    File URL: http://files.pucp.edu.pe/departamento/economia/DDD375.pdf
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    More about this item

    Keywords

    student loans; time-to-degree; Peru;
    All these keywords.

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid

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