In the face of impending budget cuts to higher education, Washington policymakers are considering adopting a “high-tuition/high-aid” model that significantly increases tuition, partly offset with more financial aid.
The assumption of this approach is that students who can afford it pay more; those students who cannot, benefit from larger financial aid packages. But the experience of universities that have adopted this model shows that high-tuition/high-aid preserves neither access nor quality.
Examination of results from four Research Tier 1 universities – like the University of Washington – that switched to the high tuition-high aid model finds:
- Enrollment of low-income and under-represented minority students declines due in part to “sticker shock.”
- Enrollment of high-performing students declines due to greater competition with private colleges.
- Educational quality decreases as schools shift funds in the struggle to maintain access.
- Financial aid packages emphasize loans that contribute to high levels of student debt.
Washington needs new(opens in new tab) sources(opens in new tab) of revenue(opens in new tab) to support investments in early learning(opens in new tab), K-12(opens in new tab) and higher education. Doing so will promote technological innovation, increase our business competitiveness, and support a higher quality of life for all.
More in our latest policy brief: A Failing Grade: “High-Tuition/High-Aid”(opens in new tab).