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ERIC Number: ED533317
Record Type: Non-Journal
Publication Date: 2006-Oct-10
Pages: 23
Abstractor: As Provided
Reference Count: 11
ISBN: N/A
ISSN: N/A
Does Public Funding for Higher Education Matter?
Zhang, Liang
Cornell Higher Education Research Institute
This study uses panel data to examine the direct link between state funding and graduation rates at four-year public institutions. When other factors are held constant, a $1,000 increase in state appropriations per FTE student at four-year public institutions is associated with about a one percentage point increase in graduation rates. This positive link appears to hold for all research/doctoral, masters, and baccalaureate institutions. In addition, there is evidence that modest increases (or a decrease) in state funding are associated with rapid increases in tuition rates charged at four-year public institutions, which likely result in an additional negative impact on graduation rates. Simply put, there is no such a thing as free lunch when it comes to graduation rates at public higher education institutions. Appended are: (1) Cross-section Estimates for Six-Year Graduation Rates at Four-Year Public Higher Education Institutions (t-statistics); and (2) Panel Data Estimates for Six-Year Graduation Rates at Four-Year Public Higher Education Institutions (t-statistics). (Contains 4 tables.)
Cornell Higher Education Research Institute. ILR-Cornell University 273 Ives Hall, Ithaca, NY 14853. Tel: 607-255-4424; Web site: http://www.ilr.cornell.edu/cheri
Publication Type: Reports - Research
Education Level: Higher Education
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: Cornell Higher Education Research Institute (CHERI)