We evaluate the effect of the federal students' financial assistance scheme (BAfoeG) on enrolment rates into higher … students had to repay the full loan until 1990. Thereafter, 50 percent of the student aid has been offered as a non …

--and potentially more important--all students, even the more highly motivated ones, respond to lower tuition levels by decreasing their …-subsidy, low-tuition policies have both disincentive effects on students' study time and adverse effects on human capital …