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Labour market outcomes of student support recipients Publications

Publication Details

This study examines the relationship between receipt of student support and earnings three and five years after tertiary education.

The study disaggregated student support into three types - ‘loans only’, ‘allowances only’ and ‘loans and allowances’ and looked at differences in earnings across those three types, controlling for factors such as: age, ethnic group, gender, and qualification level, field of study, prior activity, provider type, study load.

Author(s): Bhaskaran Nair, Tertiary Sector Performance Analysis & Reporting, Ministry of Education

Date Published: March 2009

Key findings

This study suggests that the form of student support received does not directly influence post-study earnings.  Any effect on individual earnings is indirect and occurs because receiving student support influences completion.
The study shows that:

  • A marginal increase in the probability of higher earnings is found in the 'loans only' group compared with the 'allowances only' support type.
  • The differences in earnings between 'allowances only' and 'loans only' support types may be attributable to factors that do not appear in the model – such as work experience and occupation.
  • The likelihood of higher earnings for individuals who have successfully completed a qualification receiving any type of support types is more than those who don't complete a qualification within each support type.

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