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Determining The Base Cost Of Education: An Analysis Of Ohio School Districts

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  • John Ruggiero

Abstract

The Ohio Supreme Court recently ruled that Ohio's elementary and secondary public school financing system violates the state's constitution. It was estimated that an additional $1 billion is necessary to overhaul the current system. These costs are based on a report that defined the base cost of an adequate education using an overly simplified and flawed approach. This article recognizes that variations in spending arise from differences in outcomes provided, in the cost of providing a given level of outcomes, and in the efficiency of outcome provision. The study also critiques the approach used to determine the base cost of providing an adequate education.

Suggested Citation

  • John Ruggiero, 2001. "Determining The Base Cost Of Education: An Analysis Of Ohio School Districts," Contemporary Economic Policy, Western Economic Association International, vol. 19(3), pages 268-279, July.
    • Handle: RePEc:bla:coecpo:v:19:y:2001:i:3:p:268-279
    DOI: 10.1093/cep/19.3.268
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    References listed on IDEAS

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    1. Subhash C. Ray, 1991. "Resource-Use Efficiency in Public Schools: A Study of Connecticut Data," Management Science, INFORMS, vol. 37(12), pages 1620-1628, December.
    2. Sander, William, 1999. "Endogenous expenditures and student achievement," Economics Letters, Elsevier, vol. 64(2), pages 223-231, August.
    3. R. D. Banker & A. Charnes & W. W. Cooper, 1984. "Some Models for Estimating Technical and Scale Inefficiencies in Data Envelopment Analysis," Management Science, INFORMS, vol. 30(9), pages 1078-1092, September.
    4. John Ruggiero & Donald F. Vitaliano, 1999. "Assessing The Efficiency Of Public Schools Using Data Envelopment Analysis And Frontier Regression," Contemporary Economic Policy, Western Economic Association International, vol. 17(3), pages 321-331, July.
    5. Robert Haveman & Barbara Wolfe, 1995. "The Determinants of Children's Attainments: A Review of Methods and Findings," Journal of Economic Literature, American Economic Association, vol. 33(4), pages 1829-1878, December.
    6. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    7. Ruggiero, John, 1996. "On the measurement of technical efficiency in the public sector," European Journal of Operational Research, Elsevier, vol. 90(3), pages 553-565, May.
    8. Akerhielm, Karen, 1995. "Does class size matter?," Economics of Education Review, Elsevier, vol. 14(3), pages 229-241, September.
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    Citations

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    Cited by:

    1. Joshua Hall, 2007. "Local School Finance and Productive Efficiency: Evidence from Ohio," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 35(3), pages 289-301, September.
    2. Mathur, Somesh Kumar, 2007. "Indian IT industry: a performance analysis and a model for possible adoption," MPRA Paper 2368, University Library of Munich, Germany.
    3. Somesh K. Mathur, 2009. "Financial Analysis of the ICT Industry," Journal of Infrastructure Development, India Development Foundation, vol. 1(1), pages 17-43, June.
    4. repec:kap:iaecre:v:14:y:2008:i:2:p:228-241 is not listed on IDEAS
    5. Mathur Somesh, 2007. "Indian IT and ICT Industry: A Performance Analysis Using Data Envelopment Analysis and Malmquist Index," Global Economy Journal, De Gruyter, vol. 7(2), pages 1-42, June.
    6. Yongil Jeon & Michael P. Shields, 2005. "Integration And Utilization Of Public Education Resources In Remote And Homogenous Areas: A Case Study Of The Upper Peninsula Of Michigan," Contemporary Economic Policy, Western Economic Association International, vol. 23(4), pages 601-614, October.
    7. Eduardo Minuci & Amir B. Ferreira Neto & Joshua Hall, 2017. "Efficiency, But At What Cost? Evidence from a DEA Analysis of WV School Districts," Working Papers 17-28, Department of Economics, West Virginia University.
    8. Kalyan Chakraborty & John Poggio, 2008. "Efficiency and Equity in School Funding: A Case Study for Kansas," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 14(2), pages 228-241, May.
    9. Kalyan Chakraborty & Vincent C. Blackburn, 2013. "Efficiency and Equity in Funding for Government Schools in Australia," Australian Economic Papers, Wiley Blackwell, vol. 52(3-4), pages 127-142, December.
    10. Ruggiero, John, 2006. "Measurement error, education production and data envelopment analysis," Economics of Education Review, Elsevier, vol. 25(3), pages 327-333, June.

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