Economics at your fingertips  

Graduates, dropouts and slow finishers: the effects of credit constraints on university outcomes

Buly Cardak () and Joseph Vecci ()
Additional contact information
Joseph Vecci: School Economics, Monash University

No 2014.05, Working Papers from School of Economics, La Trobe University

Abstract: The effect of credit constraints on the dropout, graduate and slow finishing decisions of university students in Australia is studied. The Australian university system has institutions in place to resolve credit constraint issues, including an income contingent loan scheme and means tested government income support. Our key findings are that the effects of credit constraints vary with high school achievement and that credit constrained students are at greater risk of dropout. We find likely credit constrained students with strong high school achievement are more likely to graduate and less likely to be slow finishers relative to otherwise similar students who are only potentially or unlikely constrained. We also find that dropout is most likely in the first year of study and falls over time for all students. After three years of study, however, the risk of dropout starts to increase for students who are likely constrained. Given the policy settings in place in Australia, the chances of graduation and slow finishing do not vary negatively between students more or less likely to face credit constraints. However, more attention should be directed at the issue of dropouts as students who are likely credit constrained are at least twice as likely to drop out as other students.

Keywords: College Dropouts; Credit Constraints; Completion Times. (search for similar items in EconPapers)
JEL-codes: I23 I22 J24 H52 (search for similar items in EconPapers)
Pages: 35 pages
Date: 2014
Note: ISSN-1837-2198
References: Add references at CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link) (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found ( [301 Moved Permanently]-->

Related works:
Journal Article: Graduates, Dropouts and Slow Finishers: The Effects of Credit Constraints on University Outcomes (2016) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this paper

More papers in Working Papers from School of Economics, La Trobe University Contact information at EDIRC.
Bibliographic data for series maintained by Stephen Scoglio ( this e-mail address is bad, please contact ).

Page updated 2021-01-19
Handle: RePEc:trb:wpaper:2014.05