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Document Number: 7047

Grants for Students: What They Do, Why They Work - Student aid policy around the developed world depends to varying degrees on the idea that the cost of post-secondary education needs to be subsidized. This report finds that despite the fact that governments around the world are spending hundreds of billions of dollars to support and widen participation in higher education, policymakers pay surprisingly little attention to what the research on these subsidies actually says. This paper summarizes the literature with respect to grants and their impact on access to education and finds that the evidence is neither simple nor straightforward. The paper identifies some critical issues in the data that have not received adequate attention and pose some serious questions of well-known economic theories. The paperís concluding sections apply the lessons that can be drawn from the literature to existing policy regimes in OECD countries. (Alex Usher, Educational Policy Institute, August 2006) ...

Related Issues

International Benchmarking
Postsecondary Finance

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