ERIC Number: ED144253
Record Type: Non-Journal
Publication Date: 1975-Jan-31
Pages: 139
Abstractor: N/A
ISBN: N/A
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Available Date: N/A
Equalizing Educational Expenditures: A Welfare Analysis of Some Plans for Reform of Spending on Public Education. Final Report.
Toder, Eric J.
The purpose of this study is to examine the gains and losses to different groups in the population if currently prevalent methods of state aid to local public schools are replaced by popular reform plans. Criteria for financing public education are discussed and a method is proposed to analyze suggested reform plans. Data from the state of Massachusetts are then used to estimate a demand for education equation and to estimate the effects of changes in public school expenditures on private school enrollment. In the final section, the estimated equation is used in combination with the standard tools of welfare economics to simulate the effects of variants of three reform plans: full state funding of public schools, power-equalizing, and the modified percentage-equalization state aid plan that is currently the law in Massachusetts. The principal finding of the study is that popular variants of the two reform plans are likely to reduce the economic welfare of most all communities in the state. Evidence also suggests that private school enrollment is not likely to be significantly altered by changes in public school expenditure. (Author/MLF)
Descriptors: Educational Demand, Educational Economics, Educational Finance, Elementary Secondary Education, Enrollment Influences, Equalization Aid, Expenditure per Student, Full State Funding, Low Income Groups, Private Schools, Public Education, School District Spending, State School District Relationship, Urban Education, Welfare
Publication Type: Reports - Research
Education Level: N/A
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Sponsor: N/A
Authoring Institution: N/A
Identifiers - Location: Massachusetts
Grant or Contract Numbers: N/A
Author Affiliations: N/A