The impact of family assets and debt on college graduation

Abstract

This study examines the influence of family financial assets and debt, both measured during the time of youth's college enrollment, on the chances of college graduation. Data come from the National Longitudinal Survey of Youth. Results from analyses controlling for a number of student, parental, and institutional characteristics indicate that family assets are positively related to the chances of college graduation among White and Black students; family debt is negatively associated with the odds of college graduation among Black students, but neither family assets nor family debt is related to the chances of college graduation among Hispanic students. Overall, results indicate that family assets and debt explain a small portion of racial/ethnic gaps in college graduation. Policy implications are considered.

Mental and Physical Health Correlates of Financial Difficulties Among African-American Older Adults in Low-Income Areas of Los Angeles

“…Similar to the disparities in other SES indicators, educational attainment varies by race/ethnicity, which may be largely impacted by financial difficulties. While family assets positively impact the chances of college graduation for AA and White students, family debt is more detrimental to AA students likelihood of graduating than White students (39). Research from a national sample of low-and middle-income households found that, for AA students, the odds of student loan indebtedness is twice as high as it is for White students, and this disparity persists even after accounting for degree completion and other SES factors (40).…”

The intergenerational transmission of income mobility between mothers and their young adult daughters: The mediating role of their daughters' educational attainment

“…Numerous researchers have found a relationship between parents' income or other economic resources and their children's educational attainment (Akee et al, 2010;Acemoglu & Pischke, 2001;Cabrera & La Nasa, 2002;Gerardi, 1996;Johnson, 2008;Marr et al, 2015;Nam & Huang, 2009;Pelavin & Kane, 1990;Rylance, 1997;Zhan & Lanesskog, 2014). In one study, a 10% increase in one's family income was associated with a 1.4% increase in the likelihood of attending a 4-year college (Acemoglu & Pischke, 2001).…”

Developing Classification Model to Investigate the Problem of Computing Students Studies Length

“…The study aims to examine the influence of family financial assets during the time of student"s college enrollment has been conducted by M. Zhan and D. Lanesskog [26]. The data is gathered from the National Longitudinal Survey of Youth.…”