Should we change national assistance for students and their families?

François Ducray

Cahiers du GREThA (2007-2019) from Groupe de Recherche en Economie Théorique et Appliquée (GREThA)

Abstract: In France, there are three public aids: State grants and housing vouchers for the students, an income tax deduction for the parents. Unconditional housing vouchers promote students’ self-sufficiency. State grants aim at reducing social inequalities and decline with parental income. Income tax deduction helps parents but it increases with parental income.\r\n\r\nIn 1997, a French parliamentarian (Cieutat) emphasized the students’ aid U form. The public aid per student (housing voucher + State grant + income tax deduction) decreases with parental income, reaches a minimum for the middle class and rises beyond. The middle class is not rather poor to gain State grants. The middle class is not rather rich to profit income tax deduction entirely. Authorities created new grant levels and decided successively to peak income tax deduction.\r\n\r\nDoes students’ aid U form still exist?\r\n\r\nSchedules simulations show U form persistence. Grants’ threshold is another problem. We propose a new State grants scale which is continuous and a finance plan.

Keywords: students; public grant schedule. (search for similar items in EconPapers)
JEL-codes: D63 H24 H52 I22 I38 (search for similar items in EconPapers)
Date: 2015
New Economics Papers: this item is included in nep-edu
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