Efficiency at the Expense of Equity? Investigating Intended and Unintended Consequences of Performance Based-Funding in Hispanic-Serving Institutions

• In Event: Racialized Funding: Federal and Institutional Mechanisms for Addressing Educational Equity

Abstract

Abstract: Higher education accountability enjoys widespread support amongst state leaders. This study explores the effect of one popular state-level public policy accountability measure- performance-based funding (PBF)- on Hispanic-serving institutions (HSI). I use recent advances in econometric analysis to draw plausibly causal results for the impact of PBF and college-level outcome measures, enrollment composition, and selectivity. The primary findings from this study include a negative and statistically significant effect on Hispanic bachelor’s degree attainment in public four-year HSIs and Hispanic associate degree attainment in public two-year HSIs. Though this study focuses on HSIs, these findings are relevant for all U.S. higher education leaders, public policymakers, and researchers exploring public accountability efforts with an eye towards equity.

Author

• William Casey Boland, Baruch College - CUNY