A Difference-in-Difference Analysis of Guaranteed Tuition Policies and Higher Education Enrollments and Completions

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Abstract

College affordability has received increased attention in the press and by policymakers at the same time that increasing college completions has been identified as a national goal by the President. One method that institutional leaders and policymakers have considered to address affordability is guaranteed tuition. This study considers the impact of state-level guaranteed tuition programs on college enrollments and completions. It uses a difference-in-difference methodology with a panel dataset of public four-year institutions from 2002-2011. This study’s results show that institutions in Illinois experienced significant decreases in enrollments and completions following the introduction of its guaranteed tuition law; Oklahoma’s guaranteed tuition law did not have significant effects on enrollments or completions.

Authors

• Tyler Kearney, University of Illinois at Urbana-Champaign

• Jennifer A. Delaney, University of Illinois at Urbana-Champaign