A framework for analyzing the federal government's responsibility for higher education finance is defined and used to describe how the government now carries out its responsibility. Evidence of shifts in financing patterns in recent years is reviewed, and the context for decision-making about the federal role is examined. (MSE)

The recent history of trends affecting the affordability of college are summarized. A better balance needs to be established between loan and grant support for students. The Stafford Student Loan Program (formerly the Guaranteed Student Loan Program) and the Reishauer HELP program are discussed. (MLW)

The Education Amendments of 1980 of the Higher Education Act became law in October. The new higher education law is seen as ambitious in addressing complex issues with the management, delivery and targeting of federal assistance. The student loan explosion is discussed. (MLW)

The unsettled federal policy environment of the 1990s will affect public policy for higher education well into the next century, particularly in the areas of research support and student aid. Institutional researchers should work with financial aid officers to comply with rules and reporting requirements and to monitor policy effects on…