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The Impact of Direct Democracy on Public Education: Performance of Swiss Students in Reading

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  • Justina A.V. Fischer

Abstract

This paper analyzes the impact of direct legislation at the cantonal level on the quality of public education in Switzerland, using a cross-section of individual data on reading performance similar to that used in the OECD-PISA study. For this purpose, a structural and a reduced form of an educational production function is estimated. The OLS esti­mate of a composite index of direct democracy supports the findings previously ob­tained for U.S. states in which initiative-driven tax limits have had a deleterious effect on student performance in public schools. For a more complete picture, the impact of direct democracy on several portions of the conditional test score distribution is also in­vestigated using a quantile regression method. The negative impact appears to be equal in size between the estimated quantiles and to occur exclusively through the budgetary channel. Moreover, the equipment of schools is found to matter for student per­formance. Finally, no redistributive influence on students attending the same class is found.

Suggested Citation

  • Justina A.V. Fischer, 2005. "The Impact of Direct Democracy on Public Education: Performance of Swiss Students in Reading," University of St. Gallen Department of Economics working paper series 2005 2005-10, Department of Economics, University of St. Gallen.
    • Handle: RePEc:usg:dp2005:2005-10
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    6. Downes, Thomas A. & Figlio, David N., 1999. "Do Tax and Expenditure Limits Provide a Free Lunch? Evidence on the Link Between Limits and Public Sector Service Quality," National Tax Journal, National Tax Association;National Tax Journal, vol. 52(1), pages 113-128, March.
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    Cited by:

    1. Justina A.V. Fischer, 2005. "Do Institutions of Direct Democracy Tame the Leviathan? Swiss Evidence on the Structure of Expenditure for Public Education," CESifo Working Paper Series 1628, CESifo.
    2. Muriel Meunier, 2006. "Fonctions de production éducationnelle: le cas de la Suisse," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 142(IV), pages 579-615, December.
    3. Fischer, Justina AV, 2009. "Development of Direct Democracy in Swiss Cantons between 1997 and 2003," MPRA Paper 16140, University Library of Munich, Germany.
    4. Fischer, Justina A.V., 2007. "The Impact of Direct Democracy on Public Education: Evidence for Swiss Students in Reading, Mathematics and Natural Science," SSE/EFI Working Paper Series in Economics and Finance 688, Stockholm School of Economics.

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    More about this item

    JEL classification:

    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • H10 - Public Economics - - Structure and Scope of Government - - - General

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