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Title:Financial student aid and enrollment into higher education: new evidence from Germany PDF Logo
Authors:Steiner, Viktor
Wrohlich, Katharina
Issue Date:2008
Series/Report no.:IZA Discussion Papers 3601
Abstract:We estimate the elasticity of enrollment into higher education with respect to the amount of means tested student aid (BAfoeG) provided by the federal government using the German Socioeconomic Panel (SOEP). Potential student aid is derived on the basis of a detailed tax-benefit microsimulation model. Since potential student aid is a highly non-linear and discontinuous function of parental income, the effect of BAfoeG on students' enrollment decisions can be identified separately from parental income and other family background variables. We find a small but significant positive elasticity similar in size to those reported in previous studies for the United States and other countries.
Subjects:Higher education
financial incentives
competing risk model
JEL:H52
Persistent Identifier of the first edition:urn:nbn:de:101:1-20080723122
Document Type:Working Paper
Appears in Collections:Publikationen von Forscherinnen und Forschern des DIW
IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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