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Heterogeneous Effects of Deferred Action for Childhood Arrivals (DACA) on Undocumented College Students’ Educational Outcomes

Mon, August 12, 8:30 to 10:10am, Sheraton New York, Floor: Lower Level, Sugar Hill

Abstract

Since 2012, Deferred Action for Childhood Arrivals (DACA) has offered 800,000 eligible undocumented youth relief from deportation and renewable work permits. The evidence on DACA’s effect on educational attainment has been mixed. We use administrative dataset on the population of undocumented students attending the City University of New York (CUNY) and difference-in-difference estimation to estimate the effects of DACA on college GPA and dropout rates. We find that DACA’s effects on educational outcomes were heterogeneous: It had a negative effect on undocumented students who, prior to the policy, were academically high performing and taking on a heavy course-load, while it had no significant impact on low academic performers and those maintaining a light course-load. We speculate that high achievers were less likely to be working prior to DACA, and the newfound employment opportunities incentivized them to find work and consequently lowered their educational outcomes. Conversely, the new job opportunities did not alter the work commitments of low achievers because they were more likely to be already working and thus had no significant impact on their educational outcomes. Our results suggest that DACA may discourage undocumented youth from fully investing in their education because of the political uncertainty over the program’s future and significant financial barriers to higher education.

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