Risk Considerations in Academic Undermatching

• In Event: 66.088 - Sheraton Roundtable 13 - Osgoode Ballroom
  In Roundtable Session: 66.088-4 - Expanding the Conversation on College Choice

Abstract

Undermatching is a widespread phenomenon among low-income, high-achieving students. The most common explanation is that the students were poorly informed. However, Rodriguez (2014) found that, even the well-informed students still systematically choose to undermatch. It is puzzling, given the benefits of attending more selective institutions. This paper borrows insights from the field of decision theories to explain such college choice pattern. Specifically, I show that inconsistent information can create ambiguity, and ambiguity can in turn cause people to adopt defensive decision-making strategies. In the context of college choice, such defensive strategy can cause students rationally choose to undermatch.

Author

• Yiran Chen, University of Michigan - Ann Arbor