Business Cycles and HBCU Appropriations
Published in Journal of Economics, Race, and Policy, 2018
This paper examines the effect of state level business cycle measures on the funding of Historically Black Colleges and Universities (HBCUs), relative to other schools. We find that when controlling for school characteristics, HBCU funding is very responsive to the business cycle—particularly downturns. Generally, HBCUs receive less funding than other institutions, but this result is exacerbated during periods of economic downturn. Our results are driven by 4-year institutions—the most common type of HBCU—and dissipates when only considering 2-year institutions.
Ortega, Alberto, and Omari H. Swinton. “Business cycles and HBCU appropriations.” Journal of Economics, Race, and Policy 1 (2018): 176-195.