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School Capital Expenditure Rules and Distribution

Author

Listed:
  • Barbara Biasi
  • Julien Lafortune
  • David Schönholzer

Abstract

We provide descriptive evidence on the level and within-state distribution of school capital expenditures over the past two decades. We relate these to the fiscal institutions governing capital funding across states. Within-state differences in capital expenditures between the highest- and lowest-income school districts fell considerably following the Great Recession. Spending declined in the highest-income districts, while state support for low-income districts remained stable. Suggestive evidence points to the importance of constraints on districts' ability to raise local funding and the structure of state support in explaining these differences and trends over time.

Suggested Citation

  • Barbara Biasi & Julien Lafortune & David Schönholzer, 2021. "School Capital Expenditure Rules and Distribution," AEA Papers and Proceedings, American Economic Association, vol. 111, pages 450-454, May.
    • Handle: RePEc:aea:apandp:v:111:y:2021:p:450-54
    DOI: 10.1257/pandp.20211040
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    File URL: https://www.aeaweb.org/doi/10.1257/pandp.20211040
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    File URL: https://doi.org/10.3886/E139361V1
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    Citations

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    Cited by:

    1. Stephen Gibbons & Claudia Hupkau & Sandra McNally & Henry G. Overman, 2021. "The Effects of College Capital Projects on Student Outcome," CVER Research Papers 035, Centre for Vocational Education Research.
    2. Biasi, Barbara & Lafortune, Julien & Schönholzer, David, 2024. "What Works and for Whom? Effectiveness and Efficiency of School Capital Investments across the U.S," IZA Discussion Papers 16713, Institute of Labor Economics (IZA).

    More about this item

    JEL classification:

    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • R51 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Finance in Urban and Rural Economies
    • R53 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Public Facility Location Analysis; Public Investment and Capital Stock
    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy

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