Increases in Graduate Student Debt in the US: 2000 to 2016

This study uses National Postsecondary Student Aid Study of 2012 data to examine disparities in graduate students’ borrowing tendency. Results show Black and Hispanic students, students in education, humanities, and social sciences, and students of parents with lower education level are more likely to borrow for graduate education, even after controlling for financial factors and enrollment pattern. Institution’s size and student body racial distribution are associated with borrowing likelihood, while no gender difference is detected.

Sociology of Education, 2019

Recent efforts to understand aggregate student loan debt have shifted the focus away from undergraduate borrowing and toward dramatically rising debt among graduate and professional students. We suggest educational debt plays a key role in social stratification by either deterring bachelor’s degree holders from disadvantaged and underrepresented backgrounds from pursuing lucrative careers through advanced degree programs or imposing a high cost for entry. We speculate that the ongoing personal financing of advanced degrees, changes to funding in higher education, and increasing returns to and demand for postbaccalaureate degrees have created a perfect storm for those seeking degrees beyond college. We find that aggregate increases in borrowing among advanced degree students between 1996 and 2016 can be explained in part by increasing enrollment rates, particularly among master’s degree students, and large, secular increases in graduate and professional students’ undergraduate and gr...

2018

SSRN Electronic Journal, 2018

Average loans per FTE graduate student Average loans per FTE undergraduate student and fellowships to cover tuition and living expenses while they are enrolled. This brief reviews borrowing patterns and trends among advanced degree students, disaggregating by demographic characteristics as well as type of program and institutional sector. Differences in Annual Borrowing between Undergraduates and Advanced Degree Students Annual borrowing for higher education has risen dramatically over the past two decades. Between 1995-96 and 2005-06, the average amount borrowed among advanced degree students increased

2018

Recent efforts to understand aggregate student loan debt have shifted the focus away from undergraduate borrowing and toward dramatically rising debt among graduate and professional students. We suggest educational debt plays a key role in social stratification by deterring bachelor’s degree holders from disadvantaged and underrepresented backgrounds from pursuing lucrative careers through advanced degree programs. We speculate that the ongoing personal financing of advanced degrees, changes to funding in higher education, and increasing returns to and demand for post-baccalaureate degrees have created a perfect storm for those seeking degrees beyond college. We find that aggregate increases in borrowing among advanced degree students between 1996 and 2016 can be explained in part by increasing enrollment rates, particularly among master’s degree students, and large, secular increases in graduate and professional students’ undergraduate and graduate borrowing. In contrast to undergr...

In 2016, I reported on the narrow perspective commonly applied to the postsecondary student debt. I argued that the postsecondary student debt crisis most be analyzed considering other than the aggregate amount of postsecondary student debt. Not surprising, the rhetoric continues to focus on the aggregate amount of the debt. That narrow perspective omits other factors that were introduced in 2016 and remain valid to date. Significant factors such as affordability, borrowing patterns, tuition, and student characteristics. Postsecondary Tuition The discussion on postsecondary student debt crisis has the cost of attending college at its epicenter. However, let us consider that tuition costs vary widely among postsecondary institutions. Further, that most postsecondary students have choices regarding the institution they elect to attend, programs of study, and generally the amount of time to complete their chosen program of study. Thus, student choices have an influence on the amount of postsecondary student debt that may be incurred. However, it would be disingenuous to completely avoid discussing the cost of a postsecondary education. For example, Archibald and Feldman (2012) stated that, " The conversation about the rising cost of a college education often begins from the premise that

2001

Workplace, 2013

Hartlep, N. D. & Eckrich, L. L. T. (2013). Ivory Tower Graduates in the Red: The Role of Debt in Higher Education. Workplace, 22, 82-97.

2005

Though the rise in college student debt often has been blamed on rising tuition, a radical shift in student financial aid-from a system relying primarily on need-based grants to one dominated by loans-has been equally important. Numerous reports have highlighted the burdens faced by students who borrow large sums, but less is known about students who are averse to borrowing. For these students, the increasing prominence of loans could actually narrow their options and decrease their chances of attending and completing college. Given the increasingly important role of student loans in financial aid packages, perceptions about debt influence the ability of loan programs to achieve their goal of equalizing opportunity for students at all income levels. Based on interviews with students, counselors, outreach professionals, and financial aid directors, as well as a review of relevant research, this discussion paper offers an initial gauge of the debt dilemma and recommends four broad strategies: (1) making more grant money available for low-income and first-generation students, (2) making loan programs more attractive and efficient through income-based repayment strategies, (3) better integrating financial aid awareness into high school counseling, and (4) providing more pathways for students who prefer to attend part-time. Loans are likely to remain a mainstay of federal financial aid programs, so as interest rates begin to rise for the first time in years, foreshadowing higher future payments, the problems faced by students who borrow as well as the barriers confronted by those who are averse to borrowing are only liable to increase.

Journal of Student Financial Aid, 2006

As student loan indebtedness has more than doubled in the past decade, it has become important to examine the effects of undergraduate debt on graduate school attendance. The significant increase in student borrowing can be attributed primarily to the passage of the Higher Education Amendments of 1992, which increased federal student loan limits and expanded eligibility in student loan programs. To measure the effects of the increased undergraduate borrowing on graduate school attendance, this study compared graduate school plans of students who attended colleges and universities between 1985-1989 (before the Amendments) and 1994-1998 (after the Amendments). The results indicated a slight negative effect of borrowing on students' plans to attend graduate schools prior to the 1992 Amendments. By contrast, the students who attended school after the 1992 Amendments showed significant positive effects of borrowing, particularly for middle-income students. If middle-income students borrowed money, they were more likely to plan to attend graduate school than students from high-income families with loans.