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Research ArticleArticles

Was That SMART? Institutional Financial Incentives and Field of Study

Jeffrey T. Denning and Patrick Turley
Published online before print March 08, 2016, DOI: https://doi.org/10.3368/jhr.52.1.0414-6340R1
Jeffrey T. Denning
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Patrick Turley
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Abstract

We examine whether students respond to immediate financial incentives when choosing their college major. From 2006–07 to 2010–11, low-income students in technical or foreign language majors could receive up to $8,000 in SMART Grants. Since income-eligibility was determined using a strict threshold, we determine the causal impact of this grant on student major with a regression discontinuity design. Using administrative data from public universities in Texas, we determine that income-eligible students were 3.2 percentage points more likely than their ineligible peers to major in targeted fields. We measure a larger impact of 10.2 percentage points at Brigham Young University.

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Journal of Human Resources: 60 (3)
Journal of Human Resources
Vol. 60, Issue 3
1 May 2025
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Was That SMART? Institutional Financial Incentives and Field of Study
Jeffrey T. Denning, Patrick Turley
Journal of Human Resources Mar 2016, DOI: 10.3368/jhr.52.1.0414-6340R1

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Was That SMART? Institutional Financial Incentives and Field of Study
Jeffrey T. Denning, Patrick Turley
Journal of Human Resources Mar 2016, DOI: 10.3368/jhr.52.1.0414-6340R1
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