Alternative Student-Based Revenue Streams for Higher Education Institutions: A Difference-in-Difference Analysis Using Guaranteed Tuition Policies

Delaney, Jennifer A.; Kearney, Tyler D.

doi:10.1080/00221546.2016.11777420

Cited by 7 publications

(10 citation statements)

References 27 publications

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“…If increasing tuition is not an option for public colleges and universities, they may increase their fees as an alternative method to generate revenue (Kelchen, 2016). Focusing on public institutions in the state of Illinois, Delaney and Kearney (2016) found consistent evidence that guaranteed tuition policies led to significant increases in in-state fees. Given the growing prevalence of institutional decisions to increase student fees in lieu of tuition to enhance revenue, this study considers both tuition and fees as a proxy for the price of college.…”

Section: Literature Reviewmentioning

confidence: 90%

The Price of Mission Complexity: A National Study of the Impact of Community College Baccalaureate Adoption on Tuition and Fees

Ortagus

2019

Educational Researcher

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The traditional mission of community colleges is rooted in the provision of sub-baccalaureate education at a low price, but a total of 19 states have changed their legislative policies and currently allow community colleges to offer community college baccalaureate (CCB) degree programs. This study examines the impact of CCB adoption on the tuition and fees at CCB-adopting institutions. We leverage a novel national dataset and employ a difference-in-differences regression approach to find that CCB adoption is associated with increases in tuition and fees at public community colleges.

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Section: Literature Reviewmentioning

confidence: 90%

The Price of Mission Complexity: A National Study of the Impact of Community College Baccalaureate Adoption on Tuition and Fees

Ortagus

2019

Educational Researcher

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“…RDT has also been used to explain policy and higher education trends (Delaney & Kearney, 2016;Mendoza & Berger, 2008;Pfeffer & Salancik, 2003). Political action is one of the tactics enacted by organizations to minimize external influence (Pfeffer & Salancik, 2003).…”

Section: Resource Dependence Theorymentioning

confidence: 99%

How External Factors Influence Higher Education Philanthropy

Storm¹

2020

Proceedings of the 2020 AERA Annual Meeting

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The cost for higher education increased nearly 55% from 2002 to 2012, while state appropriations decreased 12% over the same time period (Government Accountability Office, 2014). The cost burden has been shifted heavily on students and their families as institutions have raised the cost of attendance in order to make up for declines in state support dollars. As the country continues to face a student loan bubble that impacts the housing market, marriage rates, and birth rates it will be important to the future of higher education to figure out other sources of revenue to balance budgets (Choi, Zhu, Goodman, Ganesh, & Strochak, 2018).Higher education philanthropy topped $41 billion in 2016 (Council for Aid to Education, 2017). While university endowments currently make up about 9.7% of the overall operating budget for institutions, philanthropy has the potential to make a substantial impact on colleges and universities (National Association of College and University Business Officers, 2016). By looking at how federal student loans, federal grant aid, state appropriations, and the top tax rate impact philanthropy at private and public four-year, non-profit institutions will be added add to existing research on private philanthropy.The findings of this study are that while the tax rate did not influence higher education philanthropy, all the other independent variables had statistically significant results. When the amount of student loans increased, philanthropic support decreased.

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“…For community colleges, state and local funding often takes up to half of their total operating revenue (Romano and Palmer 2016). Researchers have examined how state policies could influence tuition levels (Delaney and Kearney 2016;Kramer et al 2017;Nicholson-Crotty and Meier 2003;Serna 2013;Serna and Harris 2014). Specifically, if institutions are provided with tuition-setting authority, it is assumed that tuition levels will increase as institutional administrators set tuition and fees (Kim and Ko 2015;Lowry 2000).…”

Section: Tuition-setting Strategy and Student Educational Outcomesmentioning

confidence: 99%

“…Mumper and Freeman (2011) indicated that many economic, social, and political factors can contribute to increasing tuition levels, including decreasing state appropriations, increasing campus expenditures, and changing enrollment patterns. Specifically, tuition levels can be influenced by state policies (Delaney and Kearney 2016;Nicholson-Crotty and Meier 2003;Serna 2013;Serna and Harris 2014). In 2010, the state of Louisiana passed legislation linking public institutions' performance to 15% of state base appropriations and the authority to increase annual tuition and fees between 5% and 10% without legislative approval (State of Louisiana Board of Regents [LA BoR] 2016).…”

Section: Introductionmentioning

confidence: 99%

Public Tuition on the Rise: Estimating the Effects of Louisiana’s Performance-Based Funding Policy on Institutional Tuition Levels

Villarreal

2018

Res High Educ

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Louisiana's performance-based funding (PBF) policy is one of the most recent implementations of performance funding established by a state for accountability purposes. Instead of examining direct academic outcomes, this study focuses on tuition increase as an (un) intended outcome of PBF implementation. We use data from multiple sources to create a panel dataset of public postsecondary institutions across the United States from 2005 to 2013. Applying Difference-in-Differences and propensity score analyses procedures to estimate the causal relationship between PBF implementation and tuition levels at public institutions in Louisiana, our results indicate that treated community colleges responded to PBF by increasing tuition levels statistically significantly above that of their counterfactual institutions. While in-state tuition and fees rose statistically significantly faster at public universities in Louisiana after PBF implementation, out-of-state tuition and fees charged by the treated 4-year institutions did not significantly differ from the increases experienced at counterfactual institutions in non-PBF states. We explore possible explanations for the findings and provide implications for practices and future research.

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Alternative Student-Based Revenue Streams for Higher Education Institutions: A Difference-in-Difference Analysis Using Guaranteed Tuition Policies

Cited by 7 publications

References 27 publications

The Price of Mission Complexity: A National Study of the Impact of Community College Baccalaureate Adoption on Tuition and Fees

The Price of Mission Complexity: A National Study of the Impact of Community College Baccalaureate Adoption on Tuition and Fees

How External Factors Influence Higher Education Philanthropy

Public Tuition on the Rise: Estimating the Effects of Louisiana’s Performance-Based Funding Policy on Institutional Tuition Levels

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