<p>What it really is is a “merit aid” program for top 20% kids (as it is at Princeton). The majority of those receiving the grants in lieu of loans (which were not that large to begin with) will be those in the $100-$170k income range. The idea is to prevent at least some of the admittees from accepting much larger merit aid awards at the Vanderbilts and Emories of the world, and the difference to the college will be more than made up by raising list prices.</p>
<p>"“About 33 percent of Davidson students receive need-based aid, but officials said that number could grow under the no-loans policy if more lower-and middle-class students apply to the school.”</p>
<p>Will make no difference whatsover unless Davidson ACCEPTS them. Note there is no commitment to “increasing economic diversity”. At 40% (rather than 33%) receiving need-based aid, combined with extraordinarily low Pell Grant attendees, they would remain among the three least economic diverse prestige LACs in the country.</p>