I Won $33,000 in the Lottery! (Gwen Moritz Editor's Note)

by Gwen Moritz  on Monday, Apr. 16, 2012 12:00 am  

Gwen Moritz

• Reward effort. Return to the old Arkansas Challenge Scholarship formula of giving bigger scholarships as the students successfully complete another year of school.

• Encourage thrift. Not all students need to start at two-year schools, but the current formula has a perverse "use it or lose it" quality that encourages students to spend more in order to get the biggest scholarship. A better system would guarantee all eligible students up to $18,000 over four years. Those who use only $2,250 per year at a two-year school would then have as much as $6,750 per year left to spend on their last two years at a four-year university. The cost to the state would be the same, those students who fail will have done so at half the cost, and successful students will have to earn or borrow less in order to complete their degrees. Win, win, win.

Gwen Moritz, a big winner, thanks to the Arkansas Scholarship Lottery.

(Gwen Moritz is editor of Arkansas Business. Email her at GMoritz@ABPG.com.)

 

 

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