Effects of Tuition Price, Grant Aid, and Institutional Revenue on Low-Income Student Enrollment

Evidence of greater economic stratification brings challenges to higher education's enrollment of low-income students. With a growing proportion of potential college students coming from low-income households, increasing their post-secondary participation rate is vital in developing and growing the pool of educated individuals for the labor force as educated baby boomers retire. Using a combination of IPEDS, NPSAS:08, U.S. Census, and ACT data, this study analyzes three empirical models for public, private not-for-profit, and all institutions (both public and private not-for-profit institutions combined). Findings support previous scholarship in that price and grant aid affect student enrollment. Adding to the research regarding institutional revenues, findings indicate institutional revenues at private not-for-profits are significant and positively related to low-income enrollment.