Discussion Papers

【PDRC Research Series on JHPS Second Generation Supplement】
College loans ands scholarship and economic status of parents: An Analysis based on the JHPS Second Generation Supplement

DP Number DP2020-014
Language 日本語のみ
Date March, 2021
Author Hideo Akabayashi, Jie Wang, Masayuki Kobayashi, Shinpei Sano, Teruyuki Tamura, Michio Naoi
JEL Classification codes I22; I23; I24
Keywords higher education; scholarship and loan; income inequality; asset inequality
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This paper descriptively analyzes the relationship between college loans and scholarships and the economic status of parents at the time of college attendance using the JHPS Second Generation Supplement (JHPS-G2). We focus on the parental household income, assets, and home ownership as their financial status. Even controlling for observable attributes, household income, asset holdings (net worth), and homeownership are correlated with college enrollment. Among college attendees, those from families with lower parental income, lower financial assets, and higher debt or without home ownership tend to have a higher probability of receiving college scholarships and loans. Although the analysis of this paper remains rather descriptive, the results suggest the need to consider not only parental household income but also their asset status as a determinant of college attendance and scholarship/loan decisions.