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Pell Grants and College Tuition

Pell Grants and College Tuition →

It looks like Pell grants are subsidies for universities rather than being a true aid for needy students.

For private universities, though, increases in Pell grants appear to be matched nearly one for one by increases in list (and net) tuition. Results for out-of- state tuition for public universities are similar to those for private universities, suggesting that they behave more like private ones in setting out-of-state tuition.