While financial aid increases by Yale and Princeton last year sought to increase enrollment of students in need of aid, Dean of the Faculty Jeremy R. Knowles said Harvard's financial aid boon was designed to increase the quality of students' lives on campus.

"The landscape changed in the spring, but I decided not to react instantaneously, but to analyze and discuss--for us--how we could move to improve the educational experience of our students," Knowles said.

The $2,000 per-student increase in aid will allow students to decrease either their loan or work obligation. Knowles said the money will allow students to commit more time to extracurricular activities or to pursue unpaid internships and research during the summer.

Knowles noted that about 47 percent of College students will benefit from the $2,000 increase.

In addition, the changes in financial aid use the entire amount of outside scholarships to reduce student's financial contribution.

"We wanted to remove any sort of disincentive to applying for outside awards," Knowles said.

An important aspect to Harvard's recent announcement is that the financial aid change will apply immediately to all Harvard students.

Knowles wanted the plan to take immediate effect, despite the extra $12 million that it will cost Harvard to provide the aid to all classes now rather through a phase-in process.

"The collegiality on campus dominated our thinking," Knowles said.

Knowles also said further thinking and analysis will continue in plans to build the Knafel Center, which will house the Department of Government.

Several International Centers that are closely related to the social sciences will surround the Knafel Center.

"I'm very pleased that the international and regional centers are shaping increasing numbers of opportunities and programs that benefit undergraduates.