Student financial aid grants often fall short of amounts suggested by standard needs analysis systems, creating "unmet need," which some students try to offset with employment earnings. This study indicates that employed aid recipients can often offset unmet need, while nonworking recipients are at a financial disadvantage. Includes five tables,…

Following a brief critical review of the federally sponsored student loan system, this paper develops fundamental principles for overhauling the system and creating an Educational Credit Trust. This federally chartered corporation would determine lender eligibility requirements, monitor lenders' financial performance, and sanction student loan…

This article develops a model of household decision-making on educational participation. The model distinguishes between students and parents as decision-makers and assumes the capital market is inaccessible for financing an education. The implications of the model, problems of calculating compensating variation, and an illustrative case are…

Presents a decomposition technique for a Tobit regression model that shows the effect of the independent variables on (1) the amount of financial-aid awards to those receiving aid; and (2) the probability of receiving aid for those who did not receive aid. Contributes to a clearer understanding of the effects of selected factors on awards. (20…