Dai Li


Recent research on loan effects on student borrowers has focused on pre-college and post-college behavior, neglecting the loan effects during the within-college period. This study integrated the student retention models and financial nexus model to investigate the effects of different kinds of financial aid on degree attainment of undergraduates in 4-year institutions. The author employed multilevel analysis to examine the effects of loans and grants in within-institution, between-institutions, and comprehensive models, and found that grants were a better financial means than loans in assisting students to receive a degree.