5 Describe the expected benefits that college scholarships b

5. Describe the expected benefits that college scholarships based on (a) student ability and (b) student need are likely to have on the distribution of earnings

Solution

Benefits are given below:

(a)Students those who have ability to do better in study in future but may not peruse for it because of their ignorance, scholarships help them finding those key areas of success. It gives encouragement as well to go through the study. Suppose a student is good in economics but wanting to study mathematics which he is not good at, scholarship in economics may help.

(b) Some students are needy and may not continue higher study because of financial barrier. Scholarships help them to continue. This is a process of upliftment of social class by reducing inequality.