Arab Today, arab today colleges accused of siphoning federal aid
Last Updated : GMT 02:20:16
Arab Today, arab today
Arab Today, arab today

Colleges accused of Siphoning federal aid

Arab Today, arab today

Arab Today, arab today Colleges accused of Siphoning federal aid

Washington - Arabstoday

Washington spends $65 billion a year on federal student aid and the debate about how to pay for an extension to the Stafford loan subsidy, which has broad bipartisan support in concept, continues to rage on in Congress. However, an increasing number of people are beginning to question who exactly this aid benefits. While for many years it was accepted without question or analysis that aid benefitted students who wouldn’t otherwise be able to afford to go to college, a recent paper by Andrew Gillen updated the Bennett Hypothesis of the late 1980s to highlight what conditions are necessary for federal aid to work in its stated goal, and that the absence of these conditions leads not to student benefit but enrichment of greedy colleges. Now, Tamara Keith, writing in The Atlantic, notes that a significant portion of federal aid in education is little more than corporate welfare. Stephanie Riegg Cellini of George Washington University and Claudia Goldin of Harvard have provided compelling new analysis. Cellini and Goldin looked at for-profit colleges, utilizing the key distinction that only some for-profit schools are eligible for federal aid. Riegg and Goldin find that that aid-eligible institutions “charge much higher tuition … across all states, samples, and specifications,” even when controlling for the content and quality of courses. The 75 percent difference in tuition between aid-eligible and ineligible for-profit colleges — an amount comparable to average per-student federal assistance — suggests that “institutions may indeed raise tuition to capture the maximum grant aid available.” As Keith notes, students have little choice but to attend college if they are in anyway aspirational. The difference in annual earnings for the holder of an undergraduate degree as compared to a high school diploma is around $30,000. Even fields such as computer science where a college diploma is little more than signaling and practical experience and ability is both easily demonstrable and much more important still require a college diploma in the vast majority of cases. In American society, being without a degree can constitute a significant professional handicap, so a college diploma is essentially an inelastic good. Universities can charge what they like with little effect on demand; they have no incentive to use the aid to lower costs to the student. Keith examines where the federal aid is being spent, noting that teacher salaries aren’t rising out of line with inflation: A more likely suspect is administrative staffing, where the number of employees per 100 students has risen by 13 percent over the past decade. The largest increases in both salaries and staffing have been for private universities, bolstering the view that private schools have greater abilities to capture federal dollars.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today colleges accused of siphoning federal aid Arab Today, arab today colleges accused of siphoning federal aid

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today colleges accused of siphoning federal aid Arab Today, arab today colleges accused of siphoning federal aid

 



Arab Today, arab today Designer Rania Adel reveals her new collection

GMT 17:59 2017 Monday ,12 June

Designer Rania Adel reveals her new collection
Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Mai Al-Jeddawi presents décor ideas for Ramadan
View News in Arabic - Education: دراسات عليا
Arab Today, arab today
Arab Today, arab today

GMT 09:49 2017 Tuesday ,02 May

Girl barred from Malaysia chess competition

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse

GMT 16:25 2017 Sunday ,04 June

“Suhoor” is basic meal for fasting

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 23:13 2017 Sunday ,18 June

New ransomware virus attacking mobiles in Oman
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday