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FEDERAL FUNDING AND THE RISE IN UNIVERSITY TUITION COSTS

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Date Issued:
2013
Abstract/Description:
Access to education is a central part of federal higher education policy, and federal grant and loan programs are in place to make college degrees more attainable for students. However, there is still controversy about whether there are unintended consequences of implementing and maintaining these programs, and whether they are effectively achieving the goal of increased accessibility. In order to answer questions about whether three specific types of federal aid cause higher tuition rates and whether these programs increase graduation rates, four ordinary least squares regression models were estimated. They include changes in both in-state and out-of-state tuition sticker prices, graduation rates, as well as changes in three types of federal aid, and other variables indicative of the value of a degree for four-year public universities in Arizona, California, Georgia, and Florida for years 2001-2011. The regressions indicate a positive effect of Pell Grants on in-state and out-of-state tuition and fees, a positive effect of disbursed subsidized federal loans on the change in number of degrees awarded, and a positive effect of Pell Grants on graduation rates.
Title: FEDERAL FUNDING AND THE RISE IN UNIVERSITY TUITION COSTS.
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Name(s): Kizzort, Megan, Author
Hofler, Richard, Committee Chair
University of Central Florida, Degree Grantor
Type of Resource: text
Date Issued: 2013
Publisher: University of Central Florida
Language(s): English
Abstract/Description: Access to education is a central part of federal higher education policy, and federal grant and loan programs are in place to make college degrees more attainable for students. However, there is still controversy about whether there are unintended consequences of implementing and maintaining these programs, and whether they are effectively achieving the goal of increased accessibility. In order to answer questions about whether three specific types of federal aid cause higher tuition rates and whether these programs increase graduation rates, four ordinary least squares regression models were estimated. They include changes in both in-state and out-of-state tuition sticker prices, graduation rates, as well as changes in three types of federal aid, and other variables indicative of the value of a degree for four-year public universities in Arizona, California, Georgia, and Florida for years 2001-2011. The regressions indicate a positive effect of Pell Grants on in-state and out-of-state tuition and fees, a positive effect of disbursed subsidized federal loans on the change in number of degrees awarded, and a positive effect of Pell Grants on graduation rates.
Identifier: CFH0004522 (IID), ucf:45162 (fedora)
Note(s): 2013-12-01
B.A.
Business Administration, Dept. of Economics
Bachelors
This record was generated from author submitted information.
Subject(s): higher education
tuition costs
graduation rates
financial aid
federal funding
federal aid
Pell Grants
federal direct unsubsidized loans
federal direct subsidized loans
Bennett hypothesis
ordinary least squares regression
Persistent Link to This Record: http://purl.flvc.org/ucf/fd/CFH0004522
Restrictions on Access: public
Host Institution: UCF

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