The surge in federal aid to students at proprietary schools, many of whom drop out, means that students seeking bachelor's degrees at non-profit public and private institutions are getting less aid. Proprietary schools claim they are doing a better job of educating disadvantaged students. (MSE)

A study to examine the repayment of Guaranteed Student Loans is described. It found that most of the institutions with more than 60 percent of their student loans in default are proprietary schools. The study is aimed at helping state and federal policymakers make decisions on student-aid programs. (MLW)