IDEAS home Printed from https://ideas.repec.org/a/bla/ecaffa/v34y2014i2p196-210.html
   My bibliography  Save this article

Handing Over the School Keys: The Impact of Privatisation on Education Quality

Author

Listed:
  • Gabriel Heller Sahlgren

Abstract

In recent decades, privatisation has become a mainstream policy option considered by politicians worldwide to improve the quality of schooling. This paper discusses the theoretical reasoning underlying the links between privatisation and education quality/productivity, and evaluates the empirical research. For privatisation to function well, it is crucial that the right competitive incentives exist, which in turn requires specific system design. While the cross-national literature consistently indicates positive long-term effects of private provision, the within-country literature is more mixed (although there is very little evidence of negative effects). Yet it is important to note the significant flaws in the system design of many privatisation initiatives, which have unsurprisingly ensured that the effects of these initiatives thus far have been small or moderate at best. Flawed privatisations are unlikely to yield very strong gains. The policy implication is that politicians must pay careful attention to system design when privatising their education systems.

Suggested Citation

  • Gabriel Heller Sahlgren, 2014. "Handing Over the School Keys: The Impact of Privatisation on Education Quality," Economic Affairs, Wiley Blackwell, vol. 34(2), pages 196-210, June.
  • Handle: RePEc:bla:ecaffa:v:34:y:2014:i:2:p:196-210
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/ecaf.12069
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Philip Du Caju & Theodora Kosma & Martina Lawless & Julián Messina & Tairi Rõõm, 2015. "Why Firms Avoid Cutting Wages," ILR Review, Cornell University, ILR School, vol. 68(4), pages 862-888, August.
    2. Stephen Kinsella, 2012. "Is Ireland really the role model for austerity?," Cambridge Journal of Economics, Oxford University Press, vol. 36(1), pages 223-235.
    3. Philipp Bagus & David Howden, 2011. "Monetary equilibrium and price stickiness: Causes, consequences and remedies," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 24(4), pages 383-402, December.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:ecaffa:v:34:y:2014:i:2:p:196-210. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0265-0665 .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.