In 2016, the North Carolina legislature implemented the North Carolina Fixed Tuition Program. This policy ensures that, once enrolled, an undergraduate student's tuition rate at any of the state's four-year public colleges will not increase for eight consecutive semesters of enrollment. While touted as an effort to increase affordability by…

How have changes in the price of enrolling full time at public 2- and 4-year colleges affected student decisions about whether and where to enroll in college? Using local differences in the growth of tuition at community colleges and public 4-year colleges, we study the impact of public higher education tuition prices on the post-secondary…

This study examines the relationship between cost efficiency and privatization at 163 public research institutions in the United States between 2005 and 2015. We employ a spatial autoregressive (SAR) random-effects model and stochastic frontier analysis (SFA) to estimate the relationship between costs and four privatization variables: auxiliary…

Purpose: This study estimates the effect of the Truth-in-Tuition policy on the enrollment of first-year students, minority students and all students (total enrollment) in Illinois universities. Design/methodology/approach: Econometric models yield robust estimates using state- and time-fixed effects. This research uses the nonparametric…

Following a landmark court ruling in 2005, more than half of Germany's universities started charging tuition fees, which were subsequently abolished until 2015. We exploit the unusual lack of grandfathering in these policies to show that fees increase study effort and degree completion among incumbent students. However, fees also decrease…

Growing concerns over student debt have led to a series of sweeping policy proposals from higher education associations, think tanks, and policymakers over the last decade to align state and federal higher education financing policy. The existing framework, in which states primarily subsidize institutions and the federal government primarily…

This paper studies the causal impacts of public universities on the outcomes of their marginally admitted students. I use administrative admission records spanning all 35 public universities in Texas, which collectively enroll 10 percent of American public university students, to systematically identify and employ decentralized cutoffs in SAT/ACT…

Proposed "free college" policies vary widely in design. The simplest set tuition to zero for everyone. More targeted approaches limit free tuition to those who demonstrate need through an application process. We experimentally test the effects of these two models on the schooling decisions of low-income students. An unconditional free…

Public sector universities offer in-state and out-of-state students similar amounts of institutional aid per ACT point. Private universities, however, offer in-state students over 65% more aid per ACT point than out-of-state students. I develop a general equilibrium model to explain why private universities price discriminate in favor of in-state…

For the first time in U.S. history, a proposal for nationwide free community college passed through the House of Representatives in the fall of 2021. Although the provision was ultimately dropped from President Joe Biden's Build Back Better bill, its early presence suggests the political appeal of making college accessible to more Americans. These…

Using an output distance function as an analytic framework, stochastic frontier analysis (SFA), and a generalized true random effects (GTRE) model, this study examines the financial context of bachelor's degree production efficiency among public master's colleges and universities (MCUs) in the United States. Employing a GTRE model, degree…

The State Higher Education Finance (SHEF) report is produced annually by the State Higher Education Executive Officers Association (SHEEO) to broaden understanding of the context and consequences of public policy decisions in each state that contribute to public higher education funding levels and funding distributions across states and…

Using well-defined notions of region, panel data, and an econometric approach suited to estimating parameter coefficients on time-invariant regressors, this study finds that region is a highly influential factor for state-level public higher education prices even after controlling for other well-known drivers. Additionally, prices track the…

The State Higher Education Finance (SHEF) report is produced annually by the State Higher Education Executive Officers Association (SHEEO) to broaden understanding of the context and consequences of public policy decisions in each state that contribute to public higher education funding levels and funding distributions across states and…

Background/Context: Public colleges and universities have sought to recruit and enroll more students from outside their home state in an effort to both enhance institutional prestige and generate additional revenue from the higher tuition rates than nonresident students generally pay. A body of research has shown that nonresident students tend to…