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ERIC Number: ED659755
Record Type: Non-Journal
Publication Date: 2023-Sep-29
Pages: N/A
Abstractor: As Provided
ISBN: N/A
ISSN: N/A
EISSN: N/A
Targeted College Tuition Relief and Student Success: Evidence from Indonesia
Nadila Arabella; Joaquin Farina
Society for Research on Educational Effectiveness
Background/Context: Access to education is seen as a critical aspect of personal success, with substantial implications for education systems and social well-being. In this context, the effectiveness of free college tuition is a hot topic in current higher education research (Bell, 2020), as there is no clarity on whether the benefits outweigh the large costs that many countries are incurring. In recent years, important results have provided evidence of the causal effects of free-college policies on student success. Molina and Rivadeneyra (2021) evaluate the 2008 free-college tuition granted for public universities in Ecuador, finding that the tuition fee elimination significantly increased college participation and shifted people into higher-skilled jobs. Similarly, Bettinger et al. 2019 found evidence that California financial aid has increased undergraduate and graduate degree completion. Over the past decade, many countries have adopted targeted free college tuition initiatives in recent years in order to increase access to higher education for underprivileged people. In Indonesia, the "Kartu Indonesia Pintar - Kuliah" (Smart Indonesia Card - College) targeted relief college tuition initiative was launched in 2020 with the goal of encouraging human capital development among students from low-income households. This initiative has piqued the interest of policymakers, educators, and academics alike since it provides a unique chance to assess the impact of such programs on student success. Purpose/Objective/Research Question: In this article, we identify the causal effect of targeted relief college tuition in several dimensions of student success, such as high-school retention, college enrollment, holding part-time jobs, and socioeconomic inequality gaps. Our findings expand the current literature because, as far as we know, this is the first evaluation of a largescale, nationwide-level, targeted tuition-relief policy, conditional on higher education institutions' performance (through a three-level college accreditation scale), in a developing country. Setting: The "Kartu Indonesia Pintar - Kuliah" (Smart Indonesia Card - College) program is taking place throughout Indonesia, a country consisting of thousands of islands with a population of over 270 million people. Indonesia has a diverse population with various cultural and linguistic backgrounds, and the country is divided into 34 provinces and numerous regencies and cities. The "Kartu Indonesia Pintar - Kuliah" program is implemented in all of these regions, with a particular focus on underprivileged areas, such as rural and conflict-prone regions, where students face significant barriers to accessing higher education. Population/Participants/Subjects: The population for evaluating this program would be school and college-aged people in Indonesia who are eligible for the "Kartu Indonesia Pintar - Kuliah" program. The total number of eligible students would vary from year to year, depending on the number of students who meet the program's criteria. We base our analysis on various features and outcomes, such as: (1) High school retention rates; (2) Family socioeconomic status; (3) College enrollment; and (4) Holding part-time jobs. Intervention/Program/Practice: The "Kartu Indonesia Pintar - Kuliah" (Smart Indonesia Card - College) program is a targeted relief college tuition initiative that was launched by the Indonesian government in 2020. The program's primary objective is to increase access to higher education for students from low-income households, who might otherwise face financial barriers to pursuing a college education. Under the program, eligible students receive a smart card, known as the "Kartu Indonesia Pintar- Kuliah," which is loaded with a certain amount of funds that can be used to cover college tuition fees and living costs. The amount of funding provided to each student is based on the university's program accreditation they attend and the cost of living index in that region. To be eligible for the program, students must meet certain criteria, including being enrolled in an accredited college or university program in Indonesia, coming from a low-income household, being enrolled in several government social assistance programs, and having good academic potential. Additionally, the program prioritizes students who come from underprivileged regions, such as rural areas or conflict zones, and those who belong to marginalized groups, such as women, people with disabilities, and indigenous peoples. The "Kartu Indonesia Pintar - Kuliah" program is implemented through a partnership between the Ministry of Education and Culture and the Ministry of Social Affairs. The program is funded through the government budget, as well as donations from private corporations and individuals. Research Design: (1) We start with linear regression with fixed effects at the district level. (2) Then we implement a Difference in Difference model that exploits variation across cohorts differentially exposed to the policy, and geographic variation in access to college. Data Collection and Analysis: We use the Indonesian National Socio-Economic Survey (SUSENAS). This survey is representative of the district level. We have full access to data from the years 2016, 2017, 2018, 2020, 2021, and 2022. Approximately 1.2 million individuals are surveyed per year. Preliminary findings: Our preliminary results indicate that receiving the program has a statistically significant effect on college enrollment. Within the region, students who receive the college tuition relief are 0.021 points more enrolled in college, on average, in the population compared to those who do not receive the college tuition relief.
Society for Research on Educational Effectiveness. 2040 Sheridan Road, Evanston, IL 60208. Tel: 202-495-0920; e-mail: contact@sree.org; Web site: https://www.sree.org/
Publication Type: Reports - Research
Education Level: Higher Education; Postsecondary Education
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: Society for Research on Educational Effectiveness (SREE)
Identifiers - Location: Indonesia
Grant or Contract Numbers: N/A