Education Commons^™

Envisioning A Modern Federal-State Partnership In The Reauthorization Of The Hea As An Engine To Increase Social Mobility, F. King Alexander, Ashley Arceneaux

Journal of Student Financial Aid

Financial aid makes up the bulk of federal higher education spending, but do those dollars make a difference to needy students? A look at Federal Work-Study and Federal Supplemental Educational Opportunity Grant allocations show that a disproportionate amount of funding goes to private universities with high tuition and low Federal Pell Grant enrollment. Additionally, many financial aid awards use cost of attendance as a factor in determining award amounts, creating an unintentional incentive for tuition increases. These elements contribute to a funding environment that favors private universities over publics. When considered alongside the fact that pervasive state disinvestment has caused …