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Affirmative Action in Higher Education: How Do Admission and Financial Aid Rules Affect Future Earnings?
Abstract
This paper addresses how changing the admission and financial aid rules at colleges affects future earnings. I estimate a structural model of the following decisions by individuals: where to submit applications, which school to attend, and what field to study. The model also includes decisions by schools as to which students to accept and how much financial aid to offer. Simulating how black educational choices would change were they to face the white admission and aid rules shows that race-based advantages had little effect on earnings. However, removing race-based advantages does affect black educational outcomes. In particular, removing advantages in admissions substantially decreases the number of black students at top-tier schools, while removing advantages in financial aid causes a decrease in the number of blacks who attend college.
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Cites
Dale, S. B., & Krueger, A. B. (2002) · The Quarterly Journal of Economics · doi:10.1162/003355302320935089 · Cited by 995
General Equilibrium Treatment Effects: A Study of Tuition Policy
Heckman, J., Lochner, L., & Taber, C. (1998) · doi:10.3386/w6426 · Cited by 289
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Dynamic discrete choice structural models: A survey
Aguirregabiria, V., & Mira, P. (2010) · Journal of Econometrics · doi:10.1016/j.jeconom.2009.09.007 · Cited by 458
Income Segregation and Intergenerational Mobility Across Colleges in the United States*
Chetty, R., Friedman, J. N., Saez, E., Turner, N., & Yagan, D. (2020) · The Quarterly Journal of Economics · doi:10.1093/qje/qjaa005 · Cited by 422
Hinrichs, P. (2012) · Review of Economics and Statistics · doi:10.1162/rest_a_00170 · Cited by 283
Effective affirmative action in school choice
Hafalir, I. E., Yenmez, M. B., & Yildirim, M. A. (2013) · Theoretical Economics · doi:10.3982/te1135 · Cited by 278
Metadata
- Authors
- Arcidiacono, P.
- Venue
- Econometrica
- Publisher
- The Econometric Society
- Published
- 2005-09
- Volume
- 73
- Issue
- 5
- Pages
- 1477-1524
- ISSN
- 0012-9682 (ISSN-L)
- 1468-0262
- OpenAlex
- W2103560305
- Cited by
- 258
- References
- 2
- FWCI
- 25.44
- Type
- journal article
- Language
- en
- Open access
- closed
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- Arcidiacono, P. (2005). Affirmative Action in Higher Education: How Do Admission and Financial Aid Rules Affect Future Earnings? Econometrica. https://doi.org/10.1111/j.1468-0262.2005.00627.x
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Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
