Over the past two decades, numerous states have adopted merit-based aid programs to subsidize
higher education for in-state students. One of the main objectives of these programs is to increase
the stock of educated labor in the state by retaining those whose education is subsidized. This
study provides evidence on the extent to which such a program in Florida has affected the
location decision of college-educated Florida natives. The analysis utilizes a difference-indifference
approach and data from the Census and American Community Survey (ACS). The
results indicate those eligible for the program are significantly more likely to locate in Florida
after completing their education than those who were not eligible. These results are robust to a
number of alternative specifications, including a comparison with neighboring states.