Accountability at the Expense of Equity? Investigating Intended and Unintended Consequences of Performance Based-Funding in Hispanic-Serving Institutions

William Casey Boland ()
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William Casey Boland: Baruch College- City University of New York

Research in Higher Education, 2025, vol. 66, issue 4, No 4, 35 pages

Abstract: Abstract Higher education accountability enjoys widespread support amongst state policymakers. This study explores the effect of one popular state-level public policy accountability measure- performance-based funding (PBF)- on Hispanic-serving institutions (HSI). Though extensive research exists on the role of PBF in U.S. postsecondary education, little of it focuses on HSIs. Using an institution-year panel dataset constructed from the Integrated Postsecondary Education Data System, the Office of Postsecondary Education, InformEd States, and other sources, I use recent advances in econometric analysis to draw credibly causal results for the impact of PBF on college-level outcome measures, enrollment composition, and selectivity in HSIs. The primary findings from this study include a negative effect on Hispanic bachelor’s degree attainment in public four-year HSIs and Hispanic associate degree attainment in public two-year HSIs. Though this study focuses on HSIs, these findings are relevant for all U.S. higher education leaders, public policymakers, and researchers exploring public accountability efforts with equity implications.

Keywords: Hispanic-serving institutions; Performance-based funding; Equity; College completion; College enrollment; Event study (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/s11162-025-09842-w

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