The Financial Aid Partnership: Strengthening the Federal

This paper makes the case that it is time for a renewal of the federal commitment to educational access. While the federal government is only one of several critical partners in the higher education finance system in the United States, it is the only entity with either the mission or the capacity to take responsibility for the national agenda of removing the financial barriers to higher education. The problem of unequal educational opportunities will not be solved by expecting individuals, private organizations, educational institutions, or state governments to set aside their own interests in order to further social goals. The solution will involve understanding market forces and the role of incentives and designing federal policies to harness those forces. The federal government is responsible for setting its own agenda and pursuing it, while providing incentives that will increase the level of participation of other entities in assuring access to postsecondary education for all qualified students. The need for increased funding for need-based grants at all levels should not b