Long Testifies at U.S. Senate Finance Committee Hearing

On December 5, Associate Professor Bridget Terry Long testified before the U.S. Senate Finance Committee's hearing on tax exemptions and incentives for higher education. Long's remarks focused on the relationship between federal financial aid and tuitions costs.

Long's testimony illustrated that, contrary to common belief, colleges are not raising their tuitions in response to increases in federal financial aid. She argued that tuition is actually impacted by other internal and external factors. However, she maintained that focusing on tuition is a mistake. Rather, policymakers should focus on the net cost that students actually pay for higher education—this figure would factor in the aid that many students receive from colleges and universities. By examining the true costs for students, Long argued, it is clear that there still exists a significant need for greater federal financial aid.

"Without sufficient financial aid, students are increasingly turning to high-interest credit cards and privates loans," said Long. "They are also working significant hours, and this has been shown to impact academic performance and reduce the chances that a student will persist to college graduation. Given the critical role higher education plays in both individual economic success and the public good, increased support of college access should be a major goal of the federal government."

Long encouraged policymakers, considering financial aid reform, to pay close attention to "the documented needs of students, simplifying the design of aid programs and [the] financial aid application, and focusing on grant programs [rather] than less effective and more complicated forms of aid, like tax credits and student loans."

Long applies the theory and methods of economics to examine various aspects of the market for higher education in the United States. Her research focuses on access and choice in higher education, the outcomes for college students, and the behavior of postsecondary institutions.