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Full-Text Articles in Education
Student Repayment Crisis And The Value Of Higher Education And The Economy In California’S Kern County, Elisa P. Queenan, Brian D. Street
Student Repayment Crisis And The Value Of Higher Education And The Economy In California’S Kern County, Elisa P. Queenan, Brian D. Street
Journal of Student Financial Aid
The cost of post-secondary education (PE) continues to increase, which has contributed to elevating federal loan demand, and as of the fourth quarter of 2020, equaling a debt of $1.56 trillion in the US. The purpose of this research was to compare two post-secondary institutions for specific alignment with the local labor market, examine institutional economic benefits and costs, and impact of loan default. Bakersfield College (BC) and California State University, Bakersfield (CSUB) are both public, Hispanic Serving Institutions, in central California. Despite similarities, loan default rates of each institution differ; six-year mean rates, 24.6% at BC, 7.7% at CSUB. …
College Student Debt And Anticipated Repayment Difficulty, Jonathan J. Fox, Suzanne Bartholomae, Jodi C. Letkiewicz, Catherine P. Montalto
College Student Debt And Anticipated Repayment Difficulty, Jonathan J. Fox, Suzanne Bartholomae, Jodi C. Letkiewicz, Catherine P. Montalto
Journal of Student Financial Aid
This study analyzes factors associated with anticipated difficulty with repayment of debt accumulated during college using a basic model of credit risk that includes socialization processes influencing college student financial decisions. The empirical analysis uses data from the 2010 Ohio Student Financial Wellness Study. Results provide evidence of male overconfidence in financial decision making, as males are less likely than females to predict repayment difficulties. Socialization process variables, including financial management practices, financial parenting communication, and expected economic returns from education, are strongly associated with anticipated debt repayment difficulty. Inclusion of these process variables in the model results in loss …
Are Student Loan Default Rates Linked To Institutional Capacity?, Terry T. Ishitani, Sean A. Mckitrick
Are Student Loan Default Rates Linked To Institutional Capacity?, Terry T. Ishitani, Sean A. Mckitrick
Journal of Student Financial Aid
As more undergraduates have taken out loans to attend college, the number of borrowers who fail to repay their student loans has increased. While previous research has focused on students’ likelihood to default, this study employed institutional cohort default rates (CDRs) as an outcome variable. Using Integrated Postsecondary Education Data System, this study investigated the association between institutional effectiveness and CDRs. Coupled with multilevel modeling, the study also observed the effects of state-level factors, such as state appropriation and unemployment, on CDRs. The results showed that institutional characteristics—e.g., proportion of minority students, admission test scores, retention rates, and instructional expenses—are …
Student Loan Default: Do Characteristics Of Four-Year Institutions Contribute To The Puzzle?, Karen L. Webber, Sharon L. Rogers
Student Loan Default: Do Characteristics Of Four-Year Institutions Contribute To The Puzzle?, Karen L. Webber, Sharon L. Rogers
Journal of Student Financial Aid
College student debt and loan default are growing concerns in the United States. For each U.S. institution, the federal government is now reporting a cohort default rate, which is the percent of students who defaulted on their loan, averaged over a three-year period. Previous studies have amply shown that student characteristics are strongly associated with educational debt and one’s ability to repay student loans; however, few studies have deeply examined the relationship between institutional characteristics and student loan default. This study examined characteristics of 1,399 four-year notfor-profit U.S. institutions and found significant differences in the 2010 federal student loan default …
The “Gainful Employment Rule” And Student Loan Defaults: How The Policy Frame Overlooks Important Normative Implications, Gabriel Serna
The “Gainful Employment Rule” And Student Loan Defaults: How The Policy Frame Overlooks Important Normative Implications, Gabriel Serna
Journal of Student Financial Aid
In this essay I examine the empirical considerations and normative aspects that such a proposal engenders and how the policy frame, while useful, misses important normative implications for aid policy. Specifically, I will analyze the policy’s proposed goals, and the normative implications that adoption of such measures entails; which have been omitted from the policy debate. I will also consider how empirical or economic implications have taken center stage in the process of defining the policy’s image and the potential negative consequnces this creates.