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Title:Estimating the effect of student aid on college enrollment: evidence from a government grant policy reform PDF Logo
Authors:Nielsen, Helena Skyt
Sørensen, Torben
Taber, Christopher
Issue Date:2008
Series/Report no.:IZA discussion papers 3785
Abstract:In this paper, we investigate the responsiveness of the demand for college to changes in student aid arising from a Danish reform. We separately identify the effect of aid from that of other observed and unobserved variables such as parental income. We exploit the combination of a kinked aid scheme and a reform of the student aid scheme to identify the effect of direct costs on college enrollment. To allow for heterogeneous responses due to borrowing constraints, we use detailed information on parents' assets. We find that enrollment is less responsive than found in other studies and that the presence of borrowing constraints only deters college enrollment to a minor extent.
Subjects:College attendance
educational subsidies
reform
kink regression
JEL:I22
Persistent Identifier of the first edition:urn:nbn:de:101:1-20081126454
Document Type:Working Paper
Appears in Collections:IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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