Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/18456 
Year of Publication: 
2006
Series/Report no.: 
DIW Discussion Papers No. 563
Publisher: 
Deutsches Institut für Wirtschaftsforschung (DIW), Berlin
Abstract: 
Students from low-income families are eligible to student aid under the federal students? financial assistance scheme (BAfoeG) in Germany. We evaluate the effectiveness of a recent reform of student aid that substantially increased the amount received by eligible students to raise enrolment rates into tertiary education. We view this reform as a ?natural experiment? and apply the difference-in-difference methodology using a discrete-time hazard rate model to estimate the causal effect on enrolment rates into higher education. We find that the reform had a small positive but statistically insignificant effect on enrolment rates.
Subjects: 
educational transitions
educational finance
natural experiment and difference-indifference estimation
JEL: 
J24
H31
I22
I28
Document Type: 
Working Paper

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