Testing the Effect of UNIV1000 on Retention in a Regional University in the US

Abstract
Student retention is a major concern for many universities. We use observational data from a regional university located in Alabama to test whether taking a first-year seminar improves student retention rates. Using a linear probit model, we find that taking a first-year seminar course is negatively correlated with retention rates, after controlling for several confounding effects. We perform survival analysis and find that the students who take first year seminar courses have a better survival rate for retention than those that do not take the course. We also find that other macro and micro economic factors are equally important in improving student retention rates, such as labor market opportunities and competition from similar universities.