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A conceptual analysis of state support for higher education: Appropriations versus need-based financial aid

Toutkoushian, RK and Shafiq, MN (2010) A conceptual analysis of state support for higher education: Appropriations versus need-based financial aid. Research in Higher Education, 51 (1). 40 - 64. ISSN 0361-0365

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Abstract

In this paper, we use economic concepts to examine the choice that states make between giving appropriations to public colleges or need-based financial aid to students. We begin by reviewing the economic justification for state support for higher education. Next, we introduce a simple economic model for comparing and contrasting appropriations and need-based aid for supporting higher education. We then provide a graphical depiction of the model and simulate the effects of each policy on access to higher education. We show that it is in the best interest of states to provide need-based aid and not appropriations. Finally, we conclude with a discussion of the factors that complicate the reallocation of state funding away from appropriations and towards need-based aid. © Springer Science+Business Media, LLC 2009.


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Details

Item Type: Article
Status: Published
Creators/Authors:
CreatorsEmailPitt UsernameORCID
Toutkoushian, RK
Shafiq, MNmnshafiq@pitt.eduMNSHAFIQ0000-0001-5634-0547
Date: 1 February 2010
Date Type: Publication
Journal or Publication Title: Research in Higher Education
Volume: 51
Number: 1
Page Range: 40 - 64
DOI or Unique Handle: 10.1007/s11162-009-9148-5
Schools and Programs: Dietrich School of Arts and Sciences > Economics
Refereed: Yes
ISSN: 0361-0365
Date Deposited: 27 Feb 2013 15:38
Last Modified: 20 Jul 2019 13:55
URI: http://d-scholarship.pitt.edu/id/eprint/17533

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