Do Public Tuition Subsidies Promote College Enrollment? Evidence from Community College Taxing Districts in Texas

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• Professor Brian McCall, University of Michigan
• Thursday 04 June 2015, 12:00-13:30
• Faculty of Education, 184 Hills Road, Cambridge, CB2 8PQ, DMB, Room GS1.

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This paper estimates the effect of tuition rates on college enrolment using data for Texas from the 1990 and 2000 Censuses and the 2004 – 2010 American Community Surveys and geographical data on Community College Taxing Districts. The effect of tuition on enrolment is identified by the facts that tuition rates for those living within a taxing district are lower than those living outside the taxing district and in Texas not all geographic locations are in a taxing district. While the estimated effect of tuition on enrolment depends on the sample used, it is negative and mostly statistically significant in the samples of adults 18 and older and negative and sometimes statistically significant in the samples of traditional age students 18 to 24. The estimated effect of tuition on enrolment, however, is found to vary considerably by poverty level status with an increase in tuition rates having a statistically significant negative effect on college enrolment for those with household incomes that are at least 200% of the poverty level both for traditional aged students 18 to 24 years old and all adults 18 and older.

Bio Brian McCall is Professor of Education, Economics and Public Policy at the Gerald R Ford School of Public Policy at the University of Michigan. He is predominantly interested in the Economics of Education, Labour Economics and Applied Econometrics, and has been published widely in Economics of Education Review, of which he is the Associate Editor (most recently, The impact of the Gates Millenium Scholars Program on college and post-college related choices of high ability, low-income minority students (2014)), Journal of Labour Economics and Educational Evaluation and Policy Analysis. Professor McCall is currently visiting the Faculty.

This talk is part of the ELPEC Group Seminars series.

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