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Rationalizing the E-Rate: The Effects of Subsidizing IT in Education

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Author Info
Michael R. Ward () (University of Texas at Arlington)

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Abstract

Starting in 1998, the E-Rate program has provided $2.25 billion to subsidize Internet access in schools and libraries serving low income populations in the US. I analyze the effect of E-Rate subsidies on educational outcomes for Texas high schools over the 1994-2003 time period. Consistent with previous economic analyses, I find few, if any, improvements in student achievements. I do find evidence that experienced teachers are reallocated within districts toward schools receiving E-Rate grants. I also find evidence that the pool of college entrance exam takers is affected by E-Rate grants such that relying on average scores could lead to incorrect conclusions.

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Publisher Info
Paper provided by NET Institute in its series Working Papers with number 05-25.

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Length: 25 pages
Date of creation: Oct 2005
Date of revision: Oct 2005
Handle: RePEc:net:wpaper:0525

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Web page: http://www.NETinst.org/

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Related research
Keywords: Education; Internet; Subsidy;

Other versions of this item:

Find related papers by JEL classification:
J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
I22 - Health, Education, and Welfare - - Education - - - Educational Finance
H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Bartel, Ann P & Lichtenberg, Frank R, 1987. "The Comparative Advantage of Educated Workers in Implementing New Technology," The Review of Economics and Statistics, MIT Press, vol. 69(1), pages 1-11, February. [Downloadable!] (restricted)
  2. Austan Goolsbee & Jonathan Guryan, 2002. "The Impact of Internet Subsidies in Public Schools," NBER Working Papers 9090, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  3. Joshua Angrist & Victor Lavy, 2002. "New Evidence on Classroom Computers and Pupil Learning," Economic Journal, Royal Economic Society, vol. 112(482), pages 735-765, October. [Downloadable!] (restricted)
    Other versions:
  4. Hyunbae Chun, 2003. "Information Technology and the Demand for Educated Workers: Disentangling the Impacts of Adoption versus Use," The Review of Economics and Statistics, MIT Press, vol. 85(1), pages 1-8, November. [Downloadable!] (restricted)
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