Thursday, July 28, 2016

Do state subsidies for public universities favor the affluent?

From a Brookings Institution report: ...We find that the conventional wisdom is wrong about indirect subsidies at public niversities. For students attending school in-state, there is no difference in the indirect subsidy among different income groups. Among all students regardless of in-state status, perstudent subsidies actually decline as income rises, such that the highest-income students receive the smallest subsidies.

Looking at indirect subsidies in aggregate rather than per student, we find that the total distribution of indirect subsidies largely mirrors enrollment. That is, high income students do not receive a disproportionate share of indirect subsidies provided to students attending public universities... 

Full report at

Summary from Inside Higher Ed at

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