It is well established that financial aid, in the form of grants, increases the probability of enrollment in postsecondary education. A slate of studies in recent years has extended this research to examine whether grant aid also has an impact on persistence and degree attainment. This paper presents a systematic review and meta-analysis of the…

By applying a regression discontinuity design to national data of students at four-year colleges, this study identifies the substitution effects of exogenously received increases of grant aid on hours of paid labor, earnings, and borrowing while in college. Results confirm students substitute grant aid for both paid labor and borrowing. An average…

Do tuition vouchers and cash subsidies promote educational or labor force outcomes for "non-traditional" students? I use a regression discontinuity design to estimate the impacts of a state aid program with an unobserved eligibility cutoff. Eligibility has no impact on degree completion for students with a preference for community…

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…