The Effect of the Gainful Employment Regulatory Uncertainty on Student Enrollment at For-Profit Institutions of Higher Education

Joselynn Hawkins Fountain ()
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Joselynn Hawkins Fountain: Congressional Research Service

Research in Higher Education, 2019, vol. 60, issue 8, No 1, 1065-1089

Abstract: Abstract In 2010, the Obama Administration proposed new regulations designed to hold institutions of higher education (IHEs) accountable for student outcomes. I examine the effects of the regulatory uncertainty surrounding these “Gainful Employment” (GE) regulations on enrollment at for-profit IHEs. I utilize informational debt rates of GE institutions along with enrollment data from the integrated postsecondary education data system to employ a difference in difference design that compares enrollment before and after the GE regulatory proposal at for-profit IHEs to enrollment at public and nonprofit IHEs. My results suggest that for-profit IHEs experienced slower enrollment growth relative to public and nonprofit IHEs in the post-GE period. Additionally, enrollment of low-income students appeared to be disproportionately affected by the GE regulatory uncertainty.

Keywords: For-profit colleges; Gainful employment; Student enrollment; Higher education; Regulatory uncertainty (search for similar items in EconPapers)
Date: 2019
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Citations: View citations in EconPapers (3)

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DOI: 10.1007/s11162-018-9533-z

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