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Why Have College Completion Rates Increased? An Analysis of Rising Grades / Jeffrey T. Denning, Eric R. Eide, Kevin Mumford, Richard W. Patterson, Merrill Warnick.

By: Contributor(s): Material type: TextTextSeries: Working Paper Series (National Bureau of Economic Research) ; no. w28710.Publication details: Cambridge, Mass. National Bureau of Economic Research 2021.Description: 1 online resource: illustrations (black and white)Subject(s): Online resources: Available additional physical forms:
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Abstract: College completion rates declined from the 1970s to the 1990s. We document that this trend has reversed--since the 1990s, college completion rates have increased. We investigate the reasons for the increase in college graduation rates. Collectively, student characteristics, institutional resources, and institution attended do not explain much of the change. However, we show that grade inflation can explain much of the change in graduation rates. We show that GPA is a strong predictor of graduation rates and that GPAs have been rising since the 1990s. We also find that in national survey data and rich administrative data from 9 large public universities increases in college GPAs cannot be explained by student demographics, preparation, and school factors. Further, we find that at a public liberal arts college, grades have increased over time conditional on final exam performance.
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April 2021.

College completion rates declined from the 1970s to the 1990s. We document that this trend has reversed--since the 1990s, college completion rates have increased. We investigate the reasons for the increase in college graduation rates. Collectively, student characteristics, institutional resources, and institution attended do not explain much of the change. However, we show that grade inflation can explain much of the change in graduation rates. We show that GPA is a strong predictor of graduation rates and that GPAs have been rising since the 1990s. We also find that in national survey data and rich administrative data from 9 large public universities increases in college GPAs cannot be explained by student demographics, preparation, and school factors. Further, we find that at a public liberal arts college, grades have increased over time conditional on final exam performance.

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