ABSTRACT

The Georgia HOPE program became a model that many southern-and a few northernstates adapted to fi t the higher education systems in their states (Heller & Rasmussen, 2002). Proponents of merit grants argue that these programs retain high-achieving residents in the state and improve access, arguments for which there is some empirical support (e.g., Dynarski, 2002). But merit programs are also associated with inequality, and they make it more diffi cult for low-income residents to attend 4-year colleges if they do not meet the academic requirement for scholarship eligibility (Chapter 5). Given the wide use of merit grants as a model for expanding college access and encouraging academic preparation (Bishop, 2004), it is important for policymakers to ponder the strengths and limitations of merit grants as a political strategy for fi nancing access to higher education.