A RESEARCH PROBLEM. What effect will a reduction in college aid by the national government have on the completion rates of university students? The editorial board at the Northern Star, not surprisingly, do not like the policy.

Some students will have to pay more for college this fall, and that’s not a good thing.

It would be a rare beneficiary of public policy, whether it be a Turbotrain into the mountains of West Virginia, a performance art subsidy from the National Endowment, or a Pell Grant, who would accept the policy change as being in the public interest. But to evaluate the effectiveness of the policy, one must evaluate the gains and losses. The editorial writers don't yet get this.

This change in [eligibility] will cause about 90,000 students to be cut entirely from the Pell Grant program and 1.3-million more students throughout the country to receive less money. The change also will help relieve a deficit in the program.

The students most affected are those who now are awarded the minimal amounts of aid.Although the most needy will still get full Pell Grants, the students in the middle-lower class may have to increase loans or work more jobs to pay for the reduction.

Public policy questions. Is a student who is working his or her way through college more likely to finish than a recipient of a government grant? Might there be other benefits to society from having more self-motivated people in the university? Has the Administration acted on the efficient margin of decision making?