The Efficacy of Zero-Textbook-Cost Degrees: Evidence on Learning Outcomes and Retention
A synthesis of recent meta-analyses and institutional data reveals that Open Educational Resources (OER) not only save students millions but also maintain academic performance while significantly boosting course retention.
By Factlen Editorial Team
- Educational Researchers
- Academic researchers emphasize the empirical evidence validating the efficacy of open materials.
- Institutional Leadership
- University administrators focus on OER as a strategic tool for enrollment, retention, and equity.
- Teaching Faculty
- Instructors balance the benefits of OER with the practical challenges of curation and workload.
What's not represented
- · Commercial Textbook Publishers
- · Campus Bookstore Operators
Why this matters
The cost of college textbooks has long been a hidden barrier that forces students to take on debt or skip required readings. The proven success of zero-cost degrees means higher education can significantly improve graduation rates and lower student debt without sacrificing academic rigor.
Key points
- Students spend an average of $1,200 annually on commercial textbooks.
- Institutions are scaling Zero-Textbook-Cost (ZTC) degrees to eliminate this financial barrier.
- Meta-analyses show learning outcomes in OER courses are equivalent to or better than traditional courses.
- OER adoption significantly lowers course withdrawal rates and accelerates time-to-graduation.
- Faculty use of open materials reached a record 49% in the 2024-25 academic year.
- The primary barrier to further adoption is the time required for faculty to curate open materials.
The traditional college textbook model is breaking. With average students spending over $1,200 annually on materials, financial barriers are directly impacting academic success. For decades, the rising cost of commercial publishing has forced a difficult choice on undergraduates: take on additional debt, or attempt to pass rigorous courses without the required reading.[7]
In response, higher education is undergoing a quiet but massive structural shift toward Open Educational Resources (OER)—freely accessible, openly licensed text, media, and digital assets. By 2026, this movement has evolved from individual faculty experimenting with free PDFs to entire institutions launching "Zero-Textbook-Cost" (ZTC) or "Z-Degree" pathways.[7]
The financial impact of these initiatives is staggering at scale. The City University of New York School of Professional Studies (CUNY SPS) reports that its ZTC initiative has saved students over $5 million by the spring of 2026, offering six complete degree pathways that require zero textbook purchases.[6]

State governments are aggressively backing the transition. California recently invested $115 million in one-time funding for ZTC degree grants across its community college system. Meanwhile, the Colorado Northwestern Community College is rolling out fully zero-textbook-cost Associate of Arts and Associate of Science degrees, a move expected to save individual students roughly $2,000 over a two-year program.[5][7]
But as OER adoption scales, the central question for academic departments has shifted from cost to quality. Do free materials dilute academic rigor? A comprehensive synthesis of recent empirical research provides a clear answer: learning outcomes in OER courses are consistently equivalent to, and sometimes better than, those using commercial textbooks.[3]
A major meta-analysis synthesizing findings from dozens of studies and hundreds of thousands of students demonstrated a positive overall effect on academic performance when instructors utilized openly licensed materials. The data refutes the persistent stigma that "free" equates to lower educational quality.[3]
Researchers explain this phenomenon through the "access hypothesis." In a traditional classroom, a significant subset of students simply do not purchase the commercial textbook because they cannot afford it, putting them at an immediate academic disadvantage.[4]
When a course transitions to OER, every student has day-one access to the core materials. The academic gains observed in these studies are not necessarily because the open text is inherently superior to the commercial text, but because 100 percent of the class can actually read the assigned chapters.[4]

When a course transitions to OER, every student has day-one access to the core materials.
This baseline access fundamentally alters course completion metrics. Multiple institutional studies have found that students enrolled in OER sections withdraw at significantly lower rates than their peers in traditional sections.[1]
The impact on long-term graduation rates is equally profound. A 2025 event history modeling study tracking student-level data over several years found that students who attempt no-cost or low-cost credits significantly increase their likelihood of graduation. The study noted a particularly large positive impact for older, non-traditional adult learners.[1]
Furthermore, OER serves as a powerful tool for educational equity. Research published in the International Journal of Open Educational Resources examined the interaction between course difficulty and textbook costs, finding that OER blunts the expected negative effect of difficult courses on student grades.[4]

When course materials are free, grades decline at a lower rate as course difficulty increases, providing a crucial safety net for Pell-eligible and historically marginalized students who are disproportionately affected by hidden educational costs.[4]
Faculty are increasingly recognizing these benefits. According to the 2024-25 Higher Education Educational Resources Survey by Bay View Analytics, 49 percent of faculty now report using OER materials in at least one of their courses, marking an all-time high.[2]
Despite this momentum, widespread adoption still faces institutional hurdles. One-third of faculty remain unaware of OER, and many who are aware cite the immense time required to curate, adapt, and update open materials without adequate departmental support or release time.[2]

To bridge this gap, institutions are beginning to leverage artificial intelligence to aggregate and update OER content into dynamic digital course bundles, reducing the curation burden on individual professors. As these tools mature, the zero-textbook-cost degree is poised to become the new standard for accessible, high-quality higher education.[7]
How we got here
2019
UNESCO adopts the Recommendation on OER, establishing an international framework for openly licensed educational materials.
2021
California invests $115 million in one-time funding to expand Zero-Textbook-Cost degree pathways across its community college system.
2024-2025
Faculty adoption of OER reaches an all-time high, with 49% of instructors using open materials in at least one course.
Spring 2026
CUNY SPS surpasses $5 million in student savings through its expanded Z-Degree programs.
Viewpoints in depth
Institutional Leadership
University administrators focus on OER as a strategic tool for enrollment, retention, and equity.
For college administrators and state education boards, Zero-Textbook-Cost degrees are primarily an engine for student retention and institutional equity. By removing the $1,200 annual textbook burden, institutions see immediate reductions in course withdrawal rates and faster time-to-credential metrics. Leaders argue that state investments in OER yield massive returns by keeping financially vulnerable students enrolled and progressing toward graduation.
Educational Researchers
Academic researchers emphasize the empirical evidence validating the efficacy of open materials.
The research community focuses heavily on the 'access hypothesis' and empirical learning outcomes. Through large-scale meta-analyses and event history modeling, researchers have dismantled the assumption that free materials are inherently inferior. Their data demonstrates that when 100 percent of a classroom has day-one access to course texts, average grades stabilize and the negative impacts of course difficulty are significantly blunted.
Teaching Faculty
Instructors balance the benefits of OER with the practical challenges of curation and workload.
While faculty adoption of OER has reached record highs, instructors remain the bottleneck for widespread implementation. Teaching faculty frequently point out that commercial publishers provide ready-made test banks, slide decks, and interactive modules that save immense preparation time. Transitioning to OER requires professors to become curators and editors, a workload challenge that many argue requires dedicated institutional funding and release time to be sustainable.
What we don't know
- How the widespread integration of AI will impact the quality control and peer-review processes of open educational resources.
- Whether commercial textbook publishers will drastically alter their pricing models to compete with the rise of Z-Degrees.
- The long-term funding sustainability for institutions to continuously update and maintain their OER repositories.
Key terms
- Open Educational Resources (OER)
- Teaching, learning, and research materials that reside in the public domain or have been released under an open license that permits no-cost access, use, adaptation, and redistribution.
- Zero-Textbook-Cost (ZTC) Degree
- An entire degree program or pathway designed so that a student can graduate without ever having to purchase a commercial textbook.
- Access Hypothesis
- The theory that OER improves average class grades simply by ensuring that all students, regardless of income, have access to the required learning materials.
- Creative Commons License
- A public copyright license that enables the free distribution of an otherwise copyrighted work, commonly used for OER materials.
Frequently asked
What is a Zero-Textbook-Cost (ZTC) degree?
A ZTC degree is an academic pathway where students can complete all required courses for graduation without ever purchasing a commercial textbook, relying instead on open educational resources.
Do open educational resources lower educational quality?
No. Multiple meta-analyses show that learning outcomes in OER courses are equivalent to or slightly better than those using commercial textbooks.
Why do grades sometimes improve in OER courses?
Researchers attribute this to the 'access hypothesis.' Because the materials are free, 100% of the class has access to the readings on day one, whereas many students skip buying expensive commercial textbooks.
What is the main barrier to faculty adopting OER?
Faculty frequently cite the significant time required to find, curate, and update high-quality open materials as the primary barrier to adoption.
Sources
[1]Journal of Open Educational Resources in Higher EducationEducational Researchers
No-Cost/Low-Cost and OER Impact on Time-to-Credential: An Event History Modeling Study
Read on Journal of Open Educational Resources in Higher Education →[2]Bay View AnalyticsTeaching Faculty
2024-25 Higher Education Educational Resources Survey
Read on Bay View Analytics →[3]MDPIEducational Researchers
The Impact of Open Educational Resources on Learning Quality: A Meta-Analysis
Read on MDPI →[4]International Journal of Open Educational ResourcesEducational Researchers
The Interaction of Open Educational Resources (OER) Use and Course Difficulty on Student Course Grades
Read on International Journal of Open Educational Resources →[5]Colorado Community College SystemInstitutional Leadership
Colorado Northwestern Community College to Offer Zero-Textbook-Cost Degrees in Fall 2025
Read on Colorado Community College System →[6]CUNYInstitutional Leadership
Zero Textbook Cost Initiative at CUNY SPS
Read on CUNY →[7]Factlen Editorial TeamEducational Researchers
Synthesis by Factlen editorial team
Read on Factlen Editorial Team →
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