This study tested the Bennett hypothesis by examining whether four-year colleges changed listed tuition and fees, the amount of institutional grants per student, and room and board charges after their states implemented statewide merit-based aid programs. According to the Bennett hypothesis, increases in government financial aid make it easier for…

This study examines the impact of merit-aid programs on secondary course taking patterns. Specifically, this study uses difference-in-differences to analyze state-level Advanced Placement (AP) participation and examination data pre and post merit-aid adoption. Results indicate increases in AP participation and number of total examinations after…

The concentration of broad-based merit aid adoption in the southeastern United States has been well noted in the literature. However, there are states that have adopted broad-based merit aid programs outside of the Southeast. Guided by multiple theoretical frameworks, including innovation diffusion theory (e.g., Gray, 1973, 1994; Rogers, 2003),…

The Pittsburgh Promise is a scholarship program that provides $5,000 per year toward college tuition for public high school graduates in Pittsburgh, Pennsylvania who earned a 2.5 GPA and a 90% attendance record. This study used a difference-in-difference design to assess whether the introduction of the Promise scholarship program directly…

In 2006, Michigan changed their traditional merit award to a credit contingent program based upon successful completion of 60 college credits. The Michigan Promise Scholarship was crafted by state policymakers without input from the financial aid community. This case study suggests that the change in policy resulted in two unintended consequences:…

In this study, the authors use college enrollment and migration data to test the brain drain hypothesis. Their results suggest that state merit scholarship programs do indeed stanch the migration of "best and brightest" students to other states. In the aggregate and on average, the implementation of state merit aid programs increases the…

This study examined the relationship between students' socioeconomic characteristics and qualification for a merit scholarship in a new, state-run program. The Michigan merit award scholarship program provides scholarships of up to $2,500 for students who score at Level 1 or 2 of the Michigan Educational Assessment Program High School Tests.…

Proposals for education reform generally focus on teachers and curricula. The most important factor in education may be the student himself or herself. A growing number of states, including Georgia, Michigan, New York, and Massachusetts, have established programs that provide financial rewards in the form of merit scholarships for college for…