We use the natural experiment of a state lottery scholarship to measure the effect of generous financial aid on graduation rates at New Mexico's flagship public university. During the study period, the scholarship program paid full tuition for eight semesters for any state resident earning a 2.5 grade point average in their first semester at any…

The Tuition Opportunity Program for Students (subsequently renamed the Taylor Opportunity Program for Students, also known as TOPS), Louisiana's merit-based student aid program, was created via Act 1375 of the 1997 Regular Legislative Session. The first freshman class to receive TOPS awards entered postsecondary education in the fall of 1998. Act…

Despite increased attention paid to the advent and development of state merit scholarship policies (such as Georgia's Helping Outstanding Pupils Educationally) and some evidence that suggests differences in scholarship retention by socioeconomic status or other student characteristics, little empirical work has explored factors affecting…

Each year, the National Association of State Student Grant and Aid Programs completes a survey regarding state-funded expenditures for postsecondary student financial aid. This report, the 47th annual survey, represents data from academic year 2015-16, offering data regarding state-funded expenditures for student financial aid and illustrating the…

Over the previous two decades, state lawmakers have made two fundamental changes to how they finance their public universities. They have shifted more of the costs of higher education to students and their families through higher tuition rates; and created new grant programs that are not solely based on financial need but require prior…

We examine the impacts of being awarded a Cal Grant, among the most generous state merit aid programs. We exploit variation in eligibility rules using GPA and family income cutoffs that are ex ante unknown to applicants. Cal Grant eligibility increases degree completion by 2 to 5 percentage points in our reduced form estimates. Cal Grant also…

The outcomes states gain from investing in postsecondary financial aid programs remain hotly debated, leading to great interest in developing programs that are both cost-effective and productive in helping states meet goals. In the 2012-13 academic year, states collectively provided approximately $11.2 billion in financial aid to students enrolled…

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:…

The purpose of this study was to explore how junior level students at a Georgia postsecondary institution perceived their college experiences were impacted by the meritbased aid they received. The study employed a phenomenological method and was based on Tinto's psycho-social-economic-organizational model, from "Theories of college student…

Louisiana concentrates its postsecondary financial aid funding in merit-based aid programs, as opposed to need-based aid programs. This study illuminates the distribution of Louisiana's merit-based financial aid program, Louisiana's Tuition Opportunity Program for Students (TOPS), to students from difference socioeconomic backgrounds by describing…

The 1990s ushered in a new age in state financial support for college students, with the rise of broad-based merit scholarships. Starting in the South and spreading from there, the premise of the "new generation" of programs was simple--states should be in the business of rewarding student performance, retaining the state's "best…

In the first decade of the 21st century, the nation, the states, and colleges and universities began to grapple with the challenges of globalization, changing demography, the implications of the digital era, and of a less expansive public sector. Although not a transformative period for higher education, the decade saw significant innovations in…

The members of the National Association of State Scholarship and Grant Programs (NASSGP) are surveyed annually to collect data on state- and U.S. territory-funded scholarship and grant programs to undergraduate and graduate students to attend public or private postsecondary institutions. The following are among the highlights reported in this…