The Effect of Large-scale Performance-Based Funding in Higher Education

2021 ◽  
Vol 16 (1) ◽  
pp. 92-124 ◽  
Author(s):  
Jason Ward ◽  
Ben Ost
Keyword(s):  
Higher Education ◽  
Large Scale ◽  
Performance Metrics ◽  
State Funding ◽  
Synthetic Control ◽  
Difference In Differences ◽  
Control Approach ◽  
Performance Based Funding ◽  
State Higher Education ◽  
Identification Strategy

The use of performance-based funding that ties state higher education appropriations to performance metrics has increased dramatically in recent years, but most programs place at stake a small percent of overall funding. We analyze the effect of two notable exceptions—Ohio and Tennessee—where nearly all state funding is tied to performance measures. Using a difference-in-differences identification strategy along with a synthetic control approach, we find no evidence that these programs improve key academic outcomes.

scholarly journals Evaluating the Health Impact of Large-Scale Public Policy Changes: Classical and Novel Approaches

2017 ◽  
Vol 38 (1) ◽  
pp. 351-370 ◽  
Author(s):  
Sanjay Basu ◽  
Ankita Meghani ◽  
Arjumand Siddiqi
Keyword(s):  
Public Health ◽  
Public Policy ◽  
Large Scale ◽  
Health Impact ◽  
Synthetic Control ◽  
Policy Changes ◽  
Difference In Differences ◽  
Policy Effect ◽  
Tobacco Taxes ◽  
Poverty Relief

Large-scale public policy changes are often recommended to improve public health. Despite varying widely—from tobacco taxes to poverty-relief programs—such policies present a common dilemma to public health researchers: how to evaluate their health effects when randomized controlled trials are not possible. Here, we review the state of knowledge and experience of public health researchers who rigorously evaluate the health consequences of large-scale public policy changes. We organize our discussion by detailing approaches to address three common challenges of conducting policy evaluations: distinguishing a policy effect from time trends in health outcomes or preexisting differences between policy-affected and -unaffected communities (using difference-in-differences approaches); constructing a comparison population when a policy affects a population for whom a well-matched comparator is not immediately available (using propensity score or synthetic control approaches); and addressing unobserved confounders by utilizing quasi-random variations in policy exposure (using regression discontinuity, instrumental variables, or near-far matching approaches).

scholarly journals Institutional Effects of Higher Education Acquisitions: The Case of Texas A&M School of Law

AERA Open ◽  
2018 ◽  
Vol 4 (4) ◽  
pp. 233285841881609
Author(s):  
Austin Lyke
Keyword(s):  
Higher Education ◽  
Law School ◽  
Control Analysis ◽  
Synthetic Control ◽  
Job Outcomes ◽  
Passage Rate ◽  
Difference In Differences ◽  
Institutional Effects ◽  
Before And After ◽  
Tuition Price

This study analyzes the acquisition of the Texas Wesleyan University School of Law by Texas A&M University. In particular, institution-level effects are examined by measuring selectivity, tuition prices, job outcomes, and bar passage rate before and after the law school changed names from a hyperregional institution to one of statewide eminence and national recognition. Difference-in-differences estimations and synthetic control analysis are used to measure effects of the acquisition on various institutional metrics. Results show an increase on school selectivity and null effects on tuition price and job outcomes, suggesting heterogeneity in response to the acquisition. Implications for higher education and legal education, specifically, are discussed.

scholarly journals The primacy of the student in the age of consumer driven higher education

2019 ◽  
Author(s):  
Carl Senior ◽  
Chris Howard ◽  
Rowena Senior
Keyword(s):  
Higher Education ◽  
Large Scale ◽  
Life Time ◽  
University Administrators ◽  
Teaching Excellence ◽  
Regulatory Oversight ◽  
Performance Based Funding ◽  
To Receive ◽  
Graduating Students ◽  
Organisational Practice

Higher Education (HE) is a force for good and graduating students can expect to receive higher life time earnings as well as a range of other positive outcomes. Due to this the global HE sector is rapidly expanding and university administrators are starting to explore the benefits of aligning organisational practice with market principles. The embrace of such a consumer philosophy has many advantages as well as several significant disadvantages. Here, we consider the cause and effects of large scale marketisation of HE as well as effective frameworks for the application of a consumer-based narrative on the day to day running of a university. Using the United Kingdom’s HE sector as a case example we then consider the effects of performance based funding mechanisms such as the Research Excellence Framework (REF) as well as its younger cousin the Teaching Excellence Framework (TEF) and how excellence in both performance measures can provide a competitive based sector as well as ensure that students are placed front and centre of the culture of a thriving university. We conclude by suggesting a possible model for organisational practice that borrows from both market and non-market practice. This hybrid model for HE ensures that a university can benefit from the significant benefits of a competitive market environment as well as enjoy the protections of regulatory oversight.

scholarly journals Supplement or Supplant? Estimating the Impact of State Lottery Earmarks on Higher Education Funding

2020 ◽  
Vol 15 (1) ◽  
pp. 136-163
Author(s):  
Elizabeth Bell ◽  
Wesley Wehde ◽  
Madeleine Stucky
Keyword(s):  
Higher Education ◽  
Financial Aid ◽  
State Funding ◽  
State Appropriations ◽  
Higher Education Funding ◽  
Difference In Differences ◽  
Alternative Funding ◽  
Funding Mechanism ◽  
Percent Increase ◽  
The Impact

In the wake of declining state support for higher education, many state leaders have adopted lottery earmark policies, which designate lottery revenue to higher education budgets as an alternative funding mechanism. However, despite the ubiquity of lottery earmarks for higher education, it remains unclear whether this new source of revenue serves to supplement or supplant state funding for higher education. In this paper, we use a difference-in-differences design for the years 1990–2009 to estimate the impact on state appropriations and state financial aid levels of designating lottery earmark funding to higher education. Main findings indicate that lottery earmark policies are associated with a 5 percent increase in higher education appropriations, and a 135 percent increase in merit-based financial aid. However, lottery earmarks are also associated with a decrease in need-based financial aid of approximately 12 percent. These findings have serious distributional implications that should be considered when state lawmakers adopt lottery earmark policies for higher education.

The Equity Implications of Paying for Performance in Higher Education

2017 ◽  
Vol 61 (14) ◽  
pp. 1757-1772 ◽  
Author(s):  
Nicholas Hillman ◽  
Daniel Corral
Keyword(s):  
Higher Education ◽  
State Funding ◽  
The Past ◽  
Performance Based Funding ◽  
Minority Serving Institutions

Over the past decade, 21 states have adopted performance-based funding (PBF) models tying state funding to measureable outputs. In this study, we ask whether minority-serving institutions (MSIs) experience changes in state funding levels after the introduction of PBF. On average, we find that MSIs in PBF-states lose significant funding per student compared with MSIs in non-PBF states and non-MSIs in the same PBF state. These findings signal that MSIs are, on average, negatively affected by PBF models and could ostensibly alter the missions of these institutions.

scholarly journals Performance-Based Funding: Equity Analysis of Funding Distribution among State Universities

2015 ◽  
Vol 1 (2) ◽  
pp. 1
Author(s):  
Robin Ann Ellis
Keyword(s):  
Higher Education ◽  
The United States ◽  
State Funding ◽  
State Universities ◽  
Funding Equity ◽  
Policy Makers ◽  
Performance Based Funding ◽  
Performance Accountability ◽  
Public Colleges And Universities ◽  
Funding Distribution

<p>How to finance higher education remains controversial among policy makers and constituencies across the United States. Texas is not exempt from the controversy. With increasingly strained state finances, institutions of higher education and the Texas Higher Education Coordinating Board (THECB) have come under pressure to increase performance accountability, efficiency, and competitiveness. In Texas, House Bill 9 (H.B. 9) was enacted in 2011 to dedicate a portion of state funding to public colleges and universities that meet specific performance-based standards. Although H.B. 9 has been passed and signed into law, it still has not been determined how funding will be distributed or how effective it will be. This paper analyzes data from several states with similar performance-based funding standards to help bring to light to the possible effects H.B. 9 will have on Texas’ public four-year universities.</p>

scholarly journals Does proximity to conflict affect tourism: Evidence from NATO bombing

PLoS ONE ◽  
2021 ◽  
Vol 16 (10) ◽  
pp. e0258195
Author(s):  
Marina Tkalec ◽  
Ivan Žilić
Keyword(s):  
Synthetic Control ◽  
North West ◽  
Control Approach ◽  
Heterogeneous Effects ◽  
Negative Effect ◽  
The Difference ◽  
Using Data ◽  
Nato Bombing ◽  
Flexible Model ◽  
Identification Strategy

Although conflict, war, violence, and terrorism affect tourism, research that identifies possible channels of these effects is scarce. We explore if the adverse effects are channelled through proximity to conflict areas. We use the conflict in Kosovo in 1999 and the country Croatia as a quasi-natural experiment and take advantage of the specific north-west to south-east orientation of Croatian Adriatic counties to identify the effect of NATO bombing in Kosovo on tourism outcomes as well as the potential proximity channel. Using data on the population of Croatian firms and the difference-in-differences identification strategy we find that tourism companies’ revenues decreased significantly due to NATO bombing, especially in accommodation services and in companies with 50 or more employees. However, using a synthetic control approach we find that the adverse effect is only transitory. Analysing heterogeneous effects with respect to the distance of the firm from Kosovo—using a linear and a more flexible model—we find compelling evidence that within-country proximity to conflict is not a significant channel through which the negative effect propagates.

scholarly journals SCENARIO PLANNING OF PERSPECTIVE DEVELOPMENT OF THE DOMESTIC PATTERN OF DUAL STUDIES MANAGEMENT

2020 ◽  
pp. 203-212
Author(s):  
T. Vasilieva ◽  
O. Davlikanova
Keyword(s):  
Higher Education ◽  
Market Economy ◽  
Diffusion Of Innovation ◽  
Large Scale ◽  
Business Processes ◽  
Education Institution ◽  
Scenario Planning ◽  
State Funding ◽  
Private Higher Education ◽  
Market Demand

In a market economy a higher education estanlishments (HEEs) is viewed as a provider of educational services in the environment of tough competition for funding. Thus, the nature of HEE management processes to a great extent resembles business processes of an enterprise. Recent amendments to the Ukrainian legislation introduce KPI for assessing University efficiency, which has been included into the formula for state funding distribution. All that changes motivate educational institutions to introduce innovations, such as dual studies. Private higher education establishments should have been more interested in such innovations, which may help increase revenues by attracting more applicants, as well as investments from the private sector. However, it should be noted that only one private higher education institution is currently participating in an experiment (Order of the Ministry of Education and Science of Ukraine №1296 as of 15.10.2019) aimed at an introduction of the dual form of education in Ukraine, in contrast to the situation in Germany, where a significant share of dual HEEs are private and their establishment is viewed as a business project and a response to a market demand. This article presents an updated forecast of the spread of dual studies management in Ukraine based on the Bass innovation diffusion model, which takes into account a range of variables (factors of influence). In the absence of public financial or tax instruments to stimulate partnerships of companies and HEEs in a market economy of a developing country, economic actors are very careful when it comes to investing in education. This reduces the number of partners of HEEs needed for dual studies introduction. In addition, HEEs and employers, unlike students, are not ready to introduce such an innovation on a large scale, as it requires the introduction of new management system. According to Bass's diffusion of innovation, there are three possible scenarios of dual studies spread as an innovation accepted by HEEs. The most likely scenario is a pessimistic one, which envisages the introduction of dual studies management in 55 higher education institutions over the next 15 years, which together with 17 HEEs-innovators makes 25% of the total market volume.

scholarly journals Control, Coercion, and Cooptation

2021 ◽  
pp. 1-40 ◽  
Author(s):  
Shelley X. Liu
Keyword(s):  
Civil War ◽  
Large Scale ◽  
Interview Data ◽  
Education Reforms ◽  
Difference In Differences ◽  
Qualitative Evidence ◽  
Quantitative Results ◽  
Identification Strategy

Abstract This article examines how rebels govern after winning a civil war. During war, both sides—rebels and their rivals—form ties with civilians to facilitate governance and to establish control. To consolidate power after war, the new rebel government engages in control through its ties in its wartime strongholds, through coercion in rival strongholds where rivals retain ties, and through cooptation by deploying loyal bureaucrats to oversee development in unsecured terrain where its ties are weak. These strategies help to explain subnational differences in postwar development. The author analyzes Zimbabwe's Liberation War (1972–1979) and its postwar politics (1980–1987) using a difference-in-differences identification strategy that leverages large-scale education reforms. Quantitative results show that development increased most quickly in unsecured terrain and least quickly in rival strongholds. Qualitative evidence from archival and interview data confirms the theorized logic. The findings deepen understanding of transitions from conflict to peace and offer important insights about how wartime experiences affect postwar politics.

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