Abstract
The question being asked in this research paper is what explains student loan default rates across the three types of United States universities. The three types of universities are non-profit, for-profit, and public. This paper uses regression analysis to regress several explanatory variables on the dependent variable, which is the default rate. The explanatory variables used are the median SAT scores for incoming freshman, admission percentage, the average net price to attend a university for students, percentage of the student body who is black, percentage of the student body who is taking all online classes, non-profit universities, and for-profit universities. The public universities variable is used as the base level group. The most important finding from this research is that high default rates do not rest on the university, but the type of students the university caters to.
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