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Abstract This paper examines the effect of tuition subsidy in the form of in‐state tuition to undocumented students on the education of noncitizen Mexican young adults. The policy is found to be associated with a 2.5 percentage point increase in college enrollment (base mean = 8%), a 3.7 percentage point increase in the proportion of students with at least some college education (base mean = 10%), and a 1.3 percentage point increase in the proportion with at least an associate degree (base mean = 4%). These results are robust to a variety of specifications. When the analysis is restricted to samples more likely to be affected by the policy, point estimates become larger. The study finds no evidence that in‐state tuition policy for the undocumented adversely affects the educational outcomes of natives. © 2008 by the Association for Public Policy Analysis and Management.
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