ERIC Number: ED472458
Record Type: Non-Journal
Publication Date: 2003-Jan
Reference Count: N/A
Getting the Most out of Federal Student Aid Spending--Encouraging Colleges and Universities To Promote the Common Good. Research Report.
McPherson, Michael S.; Schapiro, Morton Owen
This paper recommends that the federal government take steps to reassert the sense of partnership and common purpose that undergirds college finance in the United States by enacting an old idea that never had become a reality. The original authorizing legislation for the Pell grant program envisioned direct institutional grants to colleges that would accompany Pell grants and help colleges absorb the costs of such grants. These "cost of education" allowances were never funded, but, in modified form, they might meet the needs of the present day. For every Pell grant recipient enrolled, a college would receive a given amount, perhaps $2,500. This flat "capitation" grant has the virtue of simplicity. It rewards colleges for enrolling Pell grant students without giving them any incentive to raise prices, as would an increase in the Pell grant. Such a program would declare in a clear way that Congress regards institutions as partners in promoting college opportunity. It would reinforce the commitment of colleges to the education of disadvantaged students. (SLD)
Descriptors: Costs, Disadvantaged Youth, Federal Government, Government Role, Grants, Higher Education, Need Analysis (Student Financial Aid), Student Financial Aid
For full text: http://www.pathwaystocollege.net/Pub/pub_products_findings.html.
Publication Type: Opinion Papers; Reports - Research
Education Level: N/A
Authoring Institution: College Entrance Examination Board, New York, NY.
Identifiers - Laws, Policies, & Programs: Pell Grant Program