Equation | (# participants) x (Q: % earning a higher education degree due to the intervention) x ($ additional lifetime earnings of higher education degree vs. high school) x (Causation factor of a college degree on earnings) |
Explanation | This metric estimates the impact of non-academic, student support services for students in postsecondary programs on the likelihood of postsecondary persistence or receiving a postsecondary degree, leading to increased lifetime earnings. This metric is based on multifaceted, integrated programs that directly address many of the barriers to academic success faced by low-income and minority students. The program may include the following components: frequent and comprehensive advising, active messaging to students to encourage enrollment following college acceptance, frequent and comprehensive career and employment services, and financial support. Number of participants: Reported by program. Q: Percentage earning an associate degree due to the intervention: [0.02] This estimated by Constellation staff using the following formula: Student service expenditures per student: Reported by program. Difference in lifetime earnings between associate degree vs. high school equivalence: [$465,900] This is estimated using ACS data (U.S. Census, 2017). These benefits are already discounted to present value. Causation factor of college on earnings: [0.46]. This is the percentage of observed earnings gains caused by a four-year college degree. This factor measures the degree to which the observed difference in earnings between college graduates and individuals who only completed high school is causal (WSIPP, 2019). |
References | National Student Clearinghouse (2019). National College Progression Rates. Retrieved from: https://nscresearchcenter.org/hsbenchmarks2016/ U.S. Census Bureau. (2017). American Community Survey 5-year estimates – public use microdata sample, 2013-2017. Generated using Public Use Microdata Area (PUMA) in the Seven-county Twin Cities Metropolitan Area. Washington State Institute for Public Policy. (2016). Benefit-cost technical documentation. Olympia, WA: Author. Retrieved from: http://www.wsipp.wa.gov/TechnicalDocumentation/WsippBenefitCostTechnicalDocumentation.pdf Weiss, M. J., Ratledge, A., Sommo, C., & Gupta, H. (2019). Supporting community college students from start to degree completion: Long-term evidence from a randomized trial of CUNY’s ASAP. American Economic Journal: Applied Economics, 11(3), 253–297. https://doi.org/10.1257/app.20170430 |