Tuition families stop paying
Community college tuition is about 4,050 dollars a year. The bill waives it before any grant is applied, so the students just above the grant line stop paying and the poorest keep their grant for rent and books.
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Value
The stream is money families no longer pay, priced at the middle of the scale like all money. Federal and state budgets pay it instead, which is the argument standing opposite, and the difference between the two is what a euro is worth to a household at the income where a four-thousand-dollar bill is the reason somebody does not enrol. Only the part of the public outlay that lands in a household is counted here; the rest pays for students who would not have enrolled at all, and what they gain is the first argument rather than money. Nothing is counted for the reduction in anxiety about paying, which is the same fact as the money. The value is the middle of the scale, and only the part of the public money that lands in a household appears here.
Impact
The community college partnership has been costed at 80 billion dollars over ten years of federal money, about 8 billion a year; the states find a quarter on top, and with states holding seventy percent of school leavers taking part — the same participation assumed for the enrolment effect — the outlay is 7.5 billion dollars, or 6.44 billion euro a year [1][7]. The bill waives tuition before any grant is applied, so the students just above the grant line stop paying and the poorest, whose grant used to go to the college, keep it for rent, transport and books: both are relieved. What is not relieved is the part of the outlay that pays for students who are newly enrolled and the part that replaces state and college aid already covering tuition, which the maintenance-of-effort rule keeps inside the sector rather than in a household. Seventy-five percent is treated as landing in a household, in a range from 60 to 90 percent: 4.83 billion euro a year. The households concerned sit around and below the point where grant aid runs out — too well off for a full grant, or poor enough that the grant now becomes cash — which gives a weight of 1.7, in a range from 1.3 to 2.2. The Impact is the largest here, and it is larger than the credentials argument because most of what the money does is replace a bill that somebody, or somebody's grant, is paying today.
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| Federal share of the community college partnership [7] | 80 billion dollars over ten years | 8 billion dollars a year | |
| ÷ | Plus the states' quarter the federal government pays 75 percent of the cost, participating states the rest [1] | ÷ 0.75 | 10.67 billion dollars a year |
| × | States taking part the same participation assumed for the enrolment effect | 70 % | 7.47 billion dollars a year |
| ÷ | In euro exchange rate used throughout this evaluation | 1.16 dollars to the euro | 6.44 billion euro a year |
| × | Share that lands in a household Setting, range 60 to 90 percent: tuition is waived before grants, so grant students keep their grant; the rest pays for newly enrolled students and replaces aid kept inside the sector [1] | 75 % | 4.83 billion euro a year |
| × | Weight of a euro in these households Setting, range 1.3 to 2.2: the relief lands around and below the point where grant aid runs out | 1.7 | 8.21 billion euro a year |
| ÷ | Normalised Impact scale of this evaluation | 1 billion euro a point | 8.21 |
Plausibility
The cost is a projection with a known structure: a per-student tuition figure, multiplied by an enrolment that is known and a participation rate that is not. The counterfactual is the present grant system. The chain has one behavioural link that carries the quantity, which is how many states join: participation is voluntary, the state has to find a quarter of the cost, and the states with the lowest tuition and the weakest budgets are the ones for whom the arithmetic works worst. The confounder that matters is the split between relief and new enrolment, which is set here rather than measured, and which moves this argument and the first one in opposite directions. That is named and unresolved. Reverse causation does not arise. The Plausibility is a little above the middle: the arithmetic is simple, the participation rate and the relief share are both assumed.
Counterfactual: the present grant system, under which the poorest students already pay no tuition. Design: mechanistic — the federal share is statutory, but state participation and the split between relief and new enrolment carry the quantity and neither is measured. Confounder: the relief share moves this argument and the credentials argument in opposite directions; named and unresolved. Direction: no reverse causation. Ceiling: projection 6.0 binds and mechanistic gives the same.