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Concerns over rising college tuition and slow economic growth have brought renewed attention to the role of federal and state financial aid programs in opening access to education. Despite a large body of literature examining the effects of grant aid on four‐year and public two‐year college enrollment, for‐profit colleges—particularly the vast majority that offer two‐year degrees and certificates—have largely been ignored. Using panel data methods and a new administrative data set of for‐profit colleges operating in California between 1989 and 2003, I assess the impact of the federal Pell Grant program, the G.I. Bill, and California's Cal Grant program on the net number of for‐profit colleges per county. The results suggest that for both Pell and Cal Grants, increases in the per‐student maximum award encourage for‐profit entry. This relationship is particularly strong in counties with high adult poverty levels, where more students are eligible for aid. Further, these gains in the private sector do not appear to come at the expense of the public sector. Rather, public community colleges also experience enrollment gains as the generosity of Pell and Cal Grants increases, although this reaction appears to be weaker than the reaction of for‐profits. © 2010 by the Association for Public Policy Analysis and Management. [ABSTRACT FROM AUTHOR]

The article discusses on the measure used to gauge poverty in the U.S., Europe and other developing countries. It discusses that the present official measure of poverty in the U.S. is flawed and both, the poverty threshold and measurement of available resources should be improved. It reports that European countries provided with sufficient social aid but they face a technical problem of relative poverty threshold. Also mentioned are the levels of economic development in developing and underdeveloped countries.

The article focuses on the association between weather risk and poverty as well as the significance of weather index insurance for agricultural and rural areas in lower-income countries in the U.S. Uninsured weather risks tend to contribute to the existence of chronic poverty, though health problems are often considered as the greatest risk encountered by many rural households. The risk of extreme weather events contributes to the existence of chronic poverty. It was concluded that the effective mechanisms transferring risk can catalyze investment and economic growth, lessening poverty in rural areas of lower income countries.