Social support in higher education: causal evidence from Portugal

Abstract

This paper evaluates the impact of two financial aid policies in Portuguese higher education: the DGES needs-based scholarship and the +Superior Program. Using quasi-experimental methods—a Fuzzy Regression Discontinuity Design and a staggered Difference-in-Differences approach—the analysis finds that the DGES grant reduces dropout rates by 1.3 to 1.7 percent age points, improves ECTS completion by 1.9 percentage points and increases the likelihood of graduation by approximately 3 percentage points. In contrast, while the +Superior Program increases enrollment, it has limited impact on student mobility and may negatively influence the academic and socioeconomic composition of the student body.