The impact of guaranteed tuition policies on postsecondary tuition levels: A difference-in-difference approach

This study considers the impact of state-level guaranteed tuition programs on postsecondary tuition levels. The analytic framework argues that state-level laws requiring flat tuition rates for four years contain inflationary risk, which encourages institutions to set tuition higher than they otherwise would with annual adjustments. To empirically test this idea, this study uses a national panel dataset and a quasi-experimental difference-in-difference methodological approach, with Illinois’ Truth-in-Tuition law serving as the treatment condition. On average, institutions subject to this law increased annual tuition by approximately 26–30% and aggregate four-year tuition by approximately 6–7% in excess of the amount predicted by the trend for institutions not subject to the law. These findings are robust to multiple alternative specifications and support the idea that state-level guaranteed tuition programs encourage large institutional tuition increases. Implications of these findings for state policymakers, higher education institutional leaders, and college-age students and their families are also discussed.     

TUITION AND THE OPEN‐DOOR: A RELATIVE PERSPECTIVE

This research was initiated to explore the effects of changing tuition rates on the open‐door policy of U.S. community junior colleges. Tuition trends in the two‐year colleges of 50 states were assessed using data gathered from the 1975 and 1980 editions of the AACJC Directory, 1980 Fact Book for Academic Administrators, and recently published journal articles. The relationship between tuition rates and enrollment levels in each state were analyzed. The analyses point to a trend of continuous increase in tuition rates for U.S. public two‐year colleges since 1951. Even though the percentage of increase in tuition for recent years has been higher for two‐year colleges than for four‐year colleges, there remains a substantial difference between the average annual tuition of the two types of institutions. There appears to be a negative correlation between tuition and enrollment at two‐year colleges for 1974‐1975 (—.27) and for 1979‐1980 (—.21). Based on these findings, it would appear that further increases in tuition might serve to close college doors for those not able to afford the rising costs of education. Suggestions are offered for internal and external actions to help maintain open access despite rising tuition costs.     

The Heterogeneous Non-resident Student Body: Measuring the Effect of Out-Of-State Students’ Home-State Wealth on Tuition and Fee Price Variations

More than 40 years of research has found a positive relationship between increases in the proportion of non-resident students enrolling in an institution and increases in the tuition prices this institution charges to these same students. Notably, this line of research has consistently treated this non-resident student body as if they constitute a homogeneous group in terms of their socioeconomic well-being, when in reality these students come from states with differing levels of socioeconomic prosperity. Notably, given that tuition and fee charges to non-resident students are market-based, institutions charge what out-of-state students are willing to pay. Under this rationale, it follows that the wealthier the student body of an institution is, the more institutions will be able to charge them in terms of tuition and fees for their education. The purpose of this study is twofold. First, it offers a method to measure the level of wealth of the non-resident student body enrolling at an institution considering the level of wealth of these students’ home states, therefore creating a measure of heterogeneity of the non-resident student body. The second purpose is to evaluate whether this measure of heterogeneity is associated with larger increases in the net tuition and fee prices charged to these students compared to the increases related to the homogeneous structure that ignores these students’ home-state wealth. This twofold purpose was addressed utilizing a dataset built from regional, state, and institutional information of 1743 public and private not-for-profit 4-year institutions across the contiguous United States. Since all the outcome variables were found to be spatially dependent, spatial econometrics techniques were employed for model estimation. Results corroborated that treating non-resident students as a homogeneous structure rendered downwardly biased estimates of institutions’ abilities and/or decisions to set higher or lower tuition and fee prices compared to the estimates obtained using the heterogeneous structure. Considering current general disinvestment of states in higher education, the analysis of factors driving non-resident tuition and fee price-setting has become especially relevant for public policy officials and decision-makers at both the institution- and state-levels. Accordingly, this study examines a critical issue in the finance of higher education—the setting of institutional tuition and fees for non-resident students.     

Funding and Focus: Resource Dependence in Public Higher Education

Utilizing resource dependence theory, this study investigates the relationship between institutional reliance on net tuition dollars as a source of revenue and institutional expenditures for education and related activities at public, four-year institutions of higher education in the United States. Drawing on an 11-year panel of university-level data and utilizing an instrumental variables approach which acknowledges the potential endogeneity of institutional revenue structure, I find that institutional expenditures are quite responsive to changes in revenue patterns. This is a finding that is discussed within the context of the longstanding trend of decreased state support for public higher education, as well as the increasing popularity of market-oriented approaches to the management of public higher education systems observed in the United States and abroad.     

Community College Governance,Funding, and Accountability: A Century of Issues and Trends

Community colleges in America are now very visible and highly respected institutions of higher education. More than 1,000 community colleges in all 50 states now comprise nearly 25% of all colleges and universities in the U.S., with over 6.5 million students, or about 45% of all college students.

State and local governance and coordination of community colleges vary from single-state governing boards to minimal state control and strong local governing boards. The relative degrees of state and local control of community colleges generally “follow the money,” in that accountability to state and local governing board and state legislatures is generally about proportional to the funds provided by each level of government.

Funding for operational support of community colleges comes primarily from state and local governments, with considerable federal support for grants and subsidized loans to students. In 2000–2001, the largest proportional funding sources for community colleges were: state governments (44.6%), local governments (19.5%), tuition and fees (19.5%) and the federal government (5.4%). State lotteries in at least 38 states represent a relatively new source of funds for community colleges, often in the form of student scholarships.

Many of the earliest public junior colleges charged no tuition, especially in California in the early 1900s. Now many community college students pay $3,000 or more per year in tuition and fees, and recent annual tuition increases in many states have been in double digits. This is a troubling trend that threatens to reduce access to higher education for poor people.     

Tuition Discounting for Revenue Management

Over the past decade, institutionally-funded financial aid (or “tuition discounts”) have been the fastest-growing item within most public four-year college and university operating budgets. One explanation for this trend is due to the changing structure of public colleges’ revenue streams, as tuition and fees have replaced state appropriations as a viable and predictable source of funding. This analysis explores the extent to which expenditures on institutionally-funded financial aid generates additional revenue for public four-year colleges and universities. Using institutional data (n = 174) from 2002 to 2008, the analysis implements a generalized method of moments (GMM) technique and concludes that aid indeed can be leveraged for revenue generation. However, this relationship is only sustainable to a certain point. When unfunded tuition discount rates exceed approximately 13%, institutions may experience diminishing revenue returns to this financial aid investment.     

中国大学生价格反应行为的基本特征

本文应用对中国13511名大学生的调查数据分析了学生价格反应行为的基本特征。结果表明，虽然接受高等教育需要承担较高的私人成本，学生的付费意愿却非常强烈，在学费上涨30％—300％五种不同幅度时，学生的高等教育需求对学费的弹性介于—0．045～—0．288之间。大学生的价格反应行为具有如下几个方面的特点：首先，学生的高等教育需求对学费及有些学生资助(如奖学金)具有灵敏的反应；其次，学生对学费及不同类型学生资助的反应不仅在性质上存在差异，而且在程度上也有所不同；第三，不同收入水平家庭学生对学费的反应是不同的；第四，学生对学费及学生资助的反应随着学生资助政策及学费的变化而变化。本文也讨论了上述结果对制订高等教育规划与财政政策的意义。     

Region,resources, and reason: A contextual analysis of state tuition and student aid policies

This paper reports on an investigation of differences and similarities across the 50 states in approaches to the pricing and discounting, via student aid, of undergraduate education. To examine national patterns in tuition and aid policies, the analysis used recent state-by-state data and multivariate statistical methods. The results suggest that region, social and economic resources, and postsecondary governance arrangements each have distinctive connections to the nature of states' tuition and aid policies. Of particular interest are the results relating to high-tuition/high-aid policies at the state level, an approach termed by proponents therationalization of tuition and aid policy. Multiple regression analysis revealed rationalization to be primarily a regionally driven phenomenon concentrated in the Northeast and Midwest. Rationalization showed weaker, but still significant, connections to the states' population, personal income levels, extent of reliance on private postsecondary institutions, and governance arrangements. Implications of these findings for theory and policy are discussed.     

Community College Economic Workforce Development Programs and Financial Insecurity

The financial cost of economic workforce development programs for community colleges is becoming unsustainable. Economic workforce development programs are experiencing changing demands from the community, declining government support, debates over function and purpose, and escalating competition from for-profit higher education institutions. Three models are proposed to policymakers as a potential policy response to this issue: Differential tuition, reallocation of resources, or funding from grants development and each were judged using two evaluative criteria: efficiency and political acceptability. It is recommended that community college policymakers and stakeholders utilize differential tuition as a policy strategy for managing the high cost of economic workforce development programs. Nevertheless, it is recommended that state community college policymakers and directors conduct a thorough and research-based policy study before moving forward considering any of the three most policy strategies mentioned here. The context and situation for all 50 states is likely unique, making this an excellent topic for a 50 state national study.     

EDUCATIONAL TUITION‐WAIVER POLICIES: A SECONDARY ANALYSIS OF INSTITUTIONAL IMPACT IN VIRGINIA

Abstract

In the last decade, a majority of states has developed legislation or centralized policy directives which encourage the participation of older adults in institutions of higher education through tuition‐reduction or tuition‐waiver. However, very little research has been conducted to assess their impact on participation and program development. This paper is intended to analyze the awareness and impact of tuition‐waiver policies among older adults and institutions of higher education in the state of Virginia. In addition, this paper is intended to provide an expository framework for the synthesis of secondary data sources which address state policy issues in gerontology and higher education.

Results from the analysis indicate a high level of awareness among administrators at the institutional and state level in higher education and among state legislators, while somewhat less awareness is evident among older adults. In terms of impact, results indicate that older adult participation remains extremely low, and the priority of cost in participation decisions is not well understood. The actual financial burden on institutions is still relatively small; however, with no tuition or state reimbursed funds, the incentives for program development remain insufficient.

Several additional policy and research questions follow from the analysis. Questions must be raised concerning who is benefitting from the legislation and who should be benefitting, what kinds of incentives are necessary for institutions to develop programs, and what role the state should play in facilitating program development. Additionally, a re‐evaluation of tuition‐waiver policies versus other kinds of financial incentives is recommended.     

The effect of tuition fees on student mobility: the UK and Ireland as a natural experiment

We exploit changes in student funding policies across the four UK nations and the Republic of Ireland to conduct a natural experiment investigating the marginal effect of differing tuition fee levels on students' enrolment behaviour. Whilst previous international research suggests increases in fees suppress demand and disincentivise cross‐border educational migration, some studies in North America and Germany find an element of inelasticity of demand. In the UK, various commentators have predicted marked shifts in student mobility in response to variation in tuition fee prices by country, trends expected to sharpen following substantial planned rises in tuition fees from 2012. After outlining tuition fee policies in the UK and Ireland, we analyse data on student enrolment destinations across the five countries for the period 2000–2010. We find little evidence to support the notion that student mobility is driven by economic ‘rationality’. Enrolment rates have risen despite increases in tuition fees and there is a long‐term trend for students to stay at home. Students seem not to be ‘pushed’ out‐of‐country by higher fees, but may be discouraged from moving if fees are lower in‐country. Student mobility within the UK and Ireland follows well‐worn paths from and to specific countries and institutions. Finally, we consider the implications of our findings for student mobility in general and forthcoming changes to UK student funding policies in particular.     

Willingness to Pay and Preference for Private Institutions

This study focuses on the correlates of student preference for private institutions over public institutions in their senior year in high school, with a particular focus on the effects of students' subjective responses to tuition costs and to financial aid availability. The data for this study were drawn from a longitudinal study of postsecondary educational choice of high school students in the state of Indiana. The results indicate that in addition to student and family background and student academic characteristics, students' subjective responses to tuition costs and to financial aid availability have a substantial linkage with student preference for private or public institutions. This study suggests that family and ascribed characteristics alone do not explain student preference for the type of postsecondary institution. Students' subjective responses to tuition costs and to financial aid availability are also directly related to student preference for a certain type of postsecondary institution, independent of student family background and academic characteristics. This suggests that the willingness to pay, not only the ability to pay, plays a direct role in student college choice decisions. The implications for policy making are discussed.     

改革开放三十年来中国高等师范教育学费政策研究

改革开放三十年来,中国高等师范教育走过了由免费到收费,再到免费的辉煌历程.探究三十年来高等师范教育学费政策变迁的原因,展望未来高等师范教育学费政策改革和发展的趋势,具有重大的理论与实践意义.     

农林高校欠费大学生思想政治工作初探

随着高校办学规模的扩大．学生欠缴学费问题已严重影响到学校的正常发展。如何加强欠费大学生思想政治工作,是当前高校学生思想政治工作中的重要内容,也是当前高校思想工作迫切需要解决的一个新课题。本文从目前高校大学生欠费思想状况,试分析其产生的原因,提出解决问题的对策。     

教育成本的两种形式与高等教育学费定价

由于计量目标差异,教育成本有两种不同形式:基于成本管理目的下的实际成本和基于学费定价目的下的标准成本。学费定价和教育成本有着必然的互动关系,生均教育成本是学费定价的重要基础,但学费定价应该以标准成本为基础。由于学费定价的复杂因素以及教育成本计量的困难,教育成本不能成为学费定价的唯一决定。     

Tuition-Setting Authority and Broad-Based Merit Aid: The Effect of Policy Intersection on Pricing Strategies

The notion of merit-aid is not a new development in higher education. Although previous researchers have demonstrated the impact of state-adopted merit-aid funding on student decision-making, fewer studies have examined institutional pricing responses to broad-based merit-aid policies. Using a generalized difference-in-difference approach, we extend previous empirical work by examining the impact of merit-aid on institutional pricing strategies while considering both the institution’s tuition-setting authority and the relative strength of the merit-aid program. In this study, we find that colleges and universities with the authority to set their own tuition increased their in-state tuition and fees following broad-based merit-aid policy adoption; however, institutions with state-controlled tuition-setting authority respond to broad-based merit-aid policies by lowering their in-state tuition and fees. Our findings suggest that the incentives and dynamics of each state’s policy environment are significant determinants of institutional responses to state-level policy adoptions.     

Do tuition fees affect the mobility of university applicants? Evidence from a natural experiment

Several German states recently introduced tuition fees for university education. We investigate whether these tuition fees influence the mobility of university applicants. Based on administrative data of applicants for medical schools in Germany, we estimate the effect of tuition fees on the probability of applying for a university in the home state. We find a small but significant reaction: The probability of applying for a university in the home state falls by 2 percentage points (baseline: 69%) for high-school graduates who come from a state with tuition fees. Moreover, we find that students with better high-school grades react more strongly to tuition fees. This might have important effects on the composition of students across states.     

Metacognitive perspectives on the development of reading comprehension: a classroom study of literary text‐talks

The current study is a contribution to reading research dealing with tuition in reading comprehension and specifically with the issue of arranging tuition to support the development of metacognition. The empirical findings referred to in this study are from textual discussions of works of fiction in grades 6 and 7. The specific focus of the study is the correlation between the linguistic strategies used by the teacher and the pupils' opportunities to develop metacognitive perspectives as a consequence of these strategies. The study shows how the teachers, by use of a series of linguistic strategies, can offer pupils support in order to (1) identify and visualise the premises of their personal queries; (2) observe and verbalise their processes of interpretation together with their emotional reactions when reading; (3) survey, adjust and communicate their use of reading comprehension strategies and (4) recognise the text as an aesthetic construction and the interaction/transaction between texts and the reader.     

Extra tuition in Southern and Eastern Africa: Coverage,growth, and linkages with pupil achievement

The phenomenon of extra tuition is witnessed in many countries and some educationalists have described it as a parallel education system. However, the incidence and impact of extra tuition have often not been studied systematically, especially in Africa. In this article cross-national data for six African education systems (Kenya, Malawi, Mauritius, Namibia, Zambia and Zanzibar) collected by SACMEQ, the Southern and Eastern Africa Consortium for Monitoring Educational Quality, have been used to assess: (a) the incidence and growth of extra tuition, (b) the characteristics of students who received extra tuition, and (c) the association between extra tuition and student achievement. The analyses presented in this paper showed that extra tuition was a widespread phenomenon in all six education systems, and that receiving extra tuition was positively associated with the socio-economic levels of students’ home backgrounds. The association between tuition and student achievement was mixed. The issues and challenges associated with tuition have been discussed and some suggestions for further research made.