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Research > Higher Education > Financing

October 14, 2004

State Merit Scholarship Programs and Racial Inequality

Edited by Donald E. Heller and Patricia Marin

Foreword by Gary Orfield

 

CONVENINGS

Merit Aid Scholarships

On December 8, 2001, CRP held a conference called State Merit Aid Programs: College Access and Equity.

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About the Contributors

If interested in learning more about the contributors of this report, you may view their biographical information in HTML format.
 
Foreword Full Report

A central dream of American parents is sending their kids to college. What used to be unusual has now become a necessity if young people are to have a secure life in the middle class in a post-industrial economy. As such, one basic goal of higher education policy should be to make certain that this opportunity is not foreclosed by a family’s income or wealth. In a society where 40 percent of students are non-White, it is more important than ever to be sure that minority students can go to college. In a society that does not believe in welfare or social supports, and where fairness rests on supposedly equal access to the education needed for economic success, these should be basic principles. In a society where the cost of college is soaring, affordability is a basic dimension of fairness. Unfortunately, it is being lost in too many state policy changes.

Many of our states have been cutting the share of state income going to college education and allocating a larger share of it to relatively new but very rapidly growing programs of “merit” aid. At the same time there has been a huge expansion of federal aid to middle class families and students, mostly in the form of loan subsidies and tax subsidies, which are now far larger than federal aid provided to poor students. In contrast to the period of the l970s, when public four-year college tuitions were low and aid for poor students to go to college was rapidly rising, we have seen a quarter century of tuitions rising much faster than family incomes, family incomes becoming more unequal, huge disparities of wealth and savings by class and race, and a dramatic shrinkage in the proportion of college costs funded by need-based student aid.

In this situation it is surprising that states with relatively weak and unusually expensive public higher education, with severe problems of access for minority students (who are driving the nation’s population growth), would choose not to fund access but to provide aid to students extremely likely to go to college without aid—students who have little or no financial need—while not covering access for low income students. Rapidly accumulating research on merit aid programs shows that this is what is happening in most state “merit aid” policies. Since this policy began with the Georgia HOPE Scholarship, there has been a lot of experience and a growing body of analysis. The authors in this report are at the forefront of that work, accounting for a great deal of the serious research showing the racial and ethnic consequences of these policies.

This research, as well as the projected impact of the Massachusetts policies (as shown in Chapter 2), suggests that funding the Adams scholarships in Massachusetts would be a decision to disproportionately aid affluent White students, with little scholarship money available for the state’s African American and Latino young people or for students living in poverty. In a state that is resegregating in highly unequal schools, has clear discrimination in its housing markets, has been raising barriers of tests for high school exit and college entry, loses a large share of its minority students before high school graduation, and refuses to adequately fund voluntary transfer policies for students wanting access to suburban schools with good college prep curricula, this use of college subsidies adds to existing racial inequality.

As a teacher of very high achieving students, I would certainly be in favor of giving high achieving students grants if the other, more basic, requirement of assuring that the state’s public higher education not be reserved for families with money had been met first. It has not. In these circumstances I believe that the leaders of higher education should strongly object to a policy that uses public funds in a way that intensifies already serious inequality.

 

Gary Orfield
Professor, Harvard Graduate School of Education
Director, The Civil Rights Project at Harvard University


To view the COMPLETE REPORT and study conducted by The Civil Rights Project go to:

State Merit Scholarship Programs and Racial Inequality (in PDF and HTML Formats)