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Abstract

During the past two decades tuition charges have climbed faster than inflation while the federal investment in student grants has declined. There is reason to question whether this new financial environment is more problematic for African Americans as compared to European Americans. This study examines the effects of tuition and student aid on persistence by European American and African American college students. We found that differences in student price response to tuition helps explain differences in persistence rates for African Americans compared to European Americans.

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