Press Release: PSC Publishes Study of Postsecondary Value-added Earnings Outcomes

FOR IMMEDIATE RELEASE

Study examines earnings outcomes for nearly one million students in Texas public higher education

Washington D.C. – Today, the Postsecondary Commission (PSC) released a study examining the value-added earnings outcomes of students enrolled in Texas public higher education. The study, conducted in partnership with Mathematica, is among the most rigorous, large-scale analyses of postsecondary economic value available in the sector.

PSC and Mathematica will present the study’s methodology and findings today during a panel discussion at an American Enterprise Institute (AEI) event focused on value and accountability in U.S. higher education.

The study examines the outcomes of 935,767 students who enrolled in 86 public institutions in Texas between 2008–09 and 2018–19 and pursued a bachelor’s degree, associate’s degree, or certificate.

Using longitudinal data in Texas, the study estimates students’ cumulative net value-added earnings over an appropriate follow-up period following enrollment, based on the length of the degree. Cumulative net value-added earnings represents the difference between students’ actual earnings and the earnings they would have achieved in a counterfactual scenario in which they did not enroll in the institution or pursue postsecondary education elsewhere, minus the net cost of attendance.

PSC partnered with the Texas Higher Education Coordinating Board (THECB) and the Education Research Center (ERC) on the study because of the strength and quality of the state’s longitudinal data infrastructure. PSC is grateful to the leadership and staff at THECB and the ERC at the University of Houston for granting PSC access to the data that made this study possible.

PSC designed the study with the goal of piloting a methodology for measuring value-added earnings outcomes that rivals the rigor of academic research while remaining practical and scalable for broader policy implementation.

“This work reflects our belief that higher education accountability should be grounded in quality measures of students’ economic outcomes,” said Stig Leschly, Founder and President of the Postsecondary Commission. “Our goal for this study and for future versions in other states is to contribute to the national conversation about value in higher education and help policymakers, institutions, and students make more informed decisions.”

PSC intends for the study’s methodology to serve as a foundation for future analyses of postsecondary value in additional states across the country. By advancing rigorous and scalable approaches to measuring economic outcomes, PSC aims to contribute to a stronger evidence base for decision-making in higher education. To explore the study methodology and findings, visit www.texas-psc.org.

Contact
Joe Pitts – joe.pitts@postsecondarycommission.org, 339-244-8914