Does merit-­based aid promote degree attainment?

• Published in: KEDI journal of educational policy Vol. 15; no. 1; pp. 99 - 118
• Main Author: Lee, Jungmin
• Format: Journal Article
• Language: English
• Published: Seoul Korean Educational Development Institute 01.01.2018; 한국교육개발원
• Subjects: Academic achievement; Academic degrees; Awards; Cohort Analysis; College Credits; College Students; Competency tests; Cutting Scores; Educational attainment; Educational Development; Eligibility; Enrollment; Equalization Aid; Family Income; Grade Point Average; Grades (Scholastic); Graduation Rate; Grants; High Achievement; High Schools; Higher Education; Human Capital; Influence of Technology; Literature Reviews; Low Income Students; Private Colleges; School Policy; Standardized Tests; Student Costs; Student financial aid; 교육학
• ISSN: 1739-4341
• DOI: 10.22804/kjep.2018.15.1.006

This study examines whether receiving merit-based aid affects the bachelor’s degree attainment in the fourth, fifth, and sixth year of initial enrollment in the case of Tennessee. Using the fuzzy frontier discontinuity method, I compare graduation rates of students who initially received the state’s merit-based aid to those of students who did not. Results show that receiving merit-based aid increased the probability of earning a bachelor’s degree in the fourth year. However, it did not affect degree attainment in the fifth or sixth year. This paper also discusses possible explanations regarding why merit-based aid may not influence degree attainment.