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Jackobsen, K. August 2021. Resource-Strong Youth Receive Most SU.
The think tank DEA (Danish Society for Education and Business) published a report this month, which indicated that students from wealthier families receive most of the benefits from Denmark’s student funding scheme, compared to those for lower-income groups. Even though the Danish student financing system has aimed to contribute to equality and social mobility, barriers to lower-socio economic groups remain.
The study, by DEA chief economist Kristian Thor Jakobsen, is titled Resource-Strong Youth Receive Most SU.( Acronym for student funding scheme). It was made possible via the Danish population registries. They contain a range of information that can thus be used to monitor the social welfare system.
In order to track generational student benefits and test whether or not students from wealthier families do receive more benefits, the study collected data from people born in 1973, 1978, 1983, and 1988, who were living in Denmark on their 18th birthday, and the student funding the received between their 18th and 30th birthdays. This data was then matched to the income of their parents when they were 18 years old. Findings discovered that young people who grew up with parents of relatively high income, receive the most SU between the ages of 18 and 30.
Previously, until the age of 21 young students from low-income groups born in 1988 received most SU. However, from then on SU was to a greater degree awarded to young students with more privileged socio-economic backgrounds as they had more resources and thus had a head start in higher education.
Findings further indicated that the students from low-income homes received most SU debt on their 30th birthday. Those with a bachelor's or master’s degree have on average DKK 44,000 (approx EUR 6,000) in SU loans, while young people from high-income families have on average DKK 20,000 ( approx EUR 2,700) in debts to SU.