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Author: Pearson, Katherine
Resulting in 2 citations.
1. Pearson, Katherine
Those Who Pay and Those Who Don't: Family Aid, Student Loan Debt, and Consequences for the Transition to Adulthood
Ph.D. Dissertation, Department of Sociology, Pennsylvania State University, 2015.
Also: https://etda.libraries.psu.edu/catalog/24856
Cohort(s): NLSY97
Publisher: Penn State University Press
Keyword(s): Debt/Borrowing; Family Resources; Home Ownership; Parental Investments; Residence, Return to Parental Home/Delayed Homeleaving; Student Loans; Transition, Adulthood

Permission to reprint the abstract has not been received from the publisher.

In recent decades, student loan debt has become a harsh reality for the majority of American students. Surprisingly, there is a substantial lack of research into both the factors that shape student loan debt accumulation and the consequences of that debt throughout the life course. This dissertation provides insight into these questions by presenting three related chapters on student loan debt, using data from the National Longitudinal Survey of Youth 1997 (NLSY-97). Results from the first study indicate that financial contributions from family for educational expenses have the power to shape student loan usage. The effect of family aid is complex, and the direction and strength of the effect vary depending on several factors. In general, family gifts can serve to reduce the likelihood that students will take out student loans, provided that the family gifts received are large enough. The second study explores this relationship further, finding that the extent to which family gifts are able to prevent student loan usage varies depending on socioeconomic status, with wealthier students receiving greater benefits from family gifts. Family gifts do not explain much of the effect of parental socioeconomic status on the likelihood of taking out student loans, however, indicating that parental resources work in both direct and indirect ways to shape student loan debt. The third study turns to an examination of the consequences of student loan debt for young adults, finding that high levels of student loan debt increase the likelihood that young adults will live with roommates at age 25 rather than living independently; increase the likelihood that young adults will return to live with parents after initially moving out; and decrease the likelihood of early homeownership. Overall, these results underscore the potential for student loan debt to negatively affect students as they transition to adulthood and emphasize the importance of socioeconomic status and direct family aid as determinants of those who carry the cost of their college education beyond graduation and into adulthood, and those who do not.
Bibliography Citation
Pearson, Katherine. Those Who Pay and Those Who Don't: Family Aid, Student Loan Debt, and Consequences for the Transition to Adulthood. Ph.D. Dissertation, Department of Sociology, Pennsylvania State University, 2015..
2. Pearson, Katherine
Those Who Pay and Those Who Don’t: The Role of Family Support in Protecting Young Adults from Student Loan Debt
Presented: Boston MA, Population Association of America Annual Meeting, May 2014
Cohort(s): NLSY97
Publisher: Population Association of America
Keyword(s): College Cost; Debt/Borrowing; Family Resources; Financial Assistance; Racial Differences; Student Loans; Transition, Adulthood

Permission to reprint the abstract has not been received from the publisher.

Student loan debt represents a growing burden facing students today as they transition to adulthood. Using data from the National Longitudinal Study of Youth 1997, I investigate ways in which parents use their resources to protect their children from accumulating debt. Preliminary results suggest that receiving financial support from family substantially reduces the total amount of government and private loans that students take out, and that the size of this protective effect differs by the type of family support: gifts have a bigger negative effect on government and private loan debt than loans from family. I also find substantial racial differences in the effect of family support: receiving financial support from family has a larger protective effect for whites than for Hispanics or blacks. These results indicate that family plays a protective role in shielding young adults from debt, but that this protection is not equally available to all students.
Bibliography Citation
Pearson, Katherine. "Those Who Pay and Those Who Don’t: The Role of Family Support in Protecting Young Adults from Student Loan Debt." Presented: Boston MA, Population Association of America Annual Meeting, May 2014.