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Author: Owens, Emily G.
Resulting in 1 citation.
1. Lovenheim, Michael F.
Owens, Emily G.
Does Federal Financial Aid Affect College Enrollment? Evidence from Drug Offenders and the Higher Education Act of 1998
Journal of Urban Economics 81 (May 2014): 1-13.
Also: http://www.sciencedirect.com/science/article/pii/S0094119014000096
Cohort(s): NLSY97
Publisher: Elsevier
Keyword(s): Arrests; College Enrollment; Drug Use; Educational Attainment; Financial Assistance

In 2001, amendments to the Higher Education Act made people convicted of drug offenses ineligible for federal financial aid for up to two years after their conviction. Using rich data on educational outcomes and drug charges in the NLSY 1997, we show that this law change had a large negative impact on the college attendance of students with drug convictions. On average, the temporary ban on federal financial aid increased the amount of time between high school graduation and college enrollment by about two years, and we also present suggestive evidence that affected students were less likely to ever enroll in college. Students living in urban areas are the most affected by these amendments. Importantly, we do not find that the law deterred young people from committing drug felonies nor did it substantively change the probability that high school students with drug convictions graduated from high school. We find no evidence of a change in college enrollment of students convicted of non-drug crimes, or of those charged by not convicted of drug offenses. In contrast to much of the existing research, we conclude that, for this high-risk group of students, eligibility for federal financial aid strongly impacts college investment decisions.
Bibliography Citation
Lovenheim, Michael F. and Emily G. Owens. "Does Federal Financial Aid Affect College Enrollment? Evidence from Drug Offenders and the Higher Education Act of 1998." Journal of Urban Economics 81 (May 2014): 1-13.