Evidence on the Impact of State Government on Primary and Secondary Education and the Equity-Efficiency Trade-Off
State governments may affect the productivity of primary and secondary education in two ways. First, various regulations imposed on local school districts are expected to make schools less efficient. Second, state efforts to reduce inequality in education spending make it more difficult for voters to increase school quality, which should lead to less voter monitoring of schools and thus less efficient schools. Our empirical analysis of state Scholastic Aptitude Test (SAT) scores from 1987 to 1992 provides evidence on both effects. The state's revenue share, which captures state meddling in local decisions, has the expected negative impact on school efficiency. But our novel result is that state-induced spending equalization also lowers average test scores but has had little if any effect on reducing the disparity in student achievement. These results bring into question policy efforts designed to shift education responsibilities from local governments to state and federal governments. Copyright 2000 by the University of Chicago.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
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.:
- Eberts, Randall W & Stone, Joe A, 1991.
"Unionization and Cost of Production: Compensation, Productivity, and Factor-Use Effects,"
Journal of Labor Economics,
University of Chicago Press, vol. 9(2), pages 171-185, April.
- Randall W. Eberts & Joe A. Stone, 1987. "Unionization and cost of production: compensation, productivity, and factor-use effects," Working Paper 8701, Federal Reserve Bank of Cleveland.
- Hanushek, Eric A & Rivkin, Steven G & Taylor, Lori L, 1996. "Aggregation and the Estimated Effects of School Resources," The Review of Economics and Statistics, MIT Press, vol. 78(4), pages 611-627, November.
- Hanushek, E-A & Rivkin, S-G & Taylor, L-L, 1995. "Aggregation and the Estimated Effects of School Resources," RCER Working Papers 397, University of Rochester - Center for Economic Research (RCER).
- Eric A. Hanushek & Steven G. Rivkin & Lori L. Taylor, 1996. "Aggregation and the Estimated Effects of School Resources," NBER Working Papers 5548, National Bureau of Economic Research, Inc.
- Southwick, Lawrence Jr & Gill, Indermit S., 1997. "Unified salary schedule and student SAT scores: Adverse effects of adverse selection in the market for secondary school teachers," Economics of Education Review, Elsevier, vol. 16(2), pages 143-153, April.
- William N. Evans & Sheila E. Murray & Robert M. Schwab, 1997. "Schoolhouses, courthouses, and statehouses after Serrano," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 16(1), pages 10-31.
- Behrendt, Amy & Eisenach, Jeffrey & Johnson, William R., 1986. "Selectivity bias and the determinants of SAT scores," Economics of Education Review, Elsevier, vol. 5(4), pages 363-371, August.
- Dynarski, Mark, 1987. "The Scholastic Aptitude Test: Participation and performance," Economics of Education Review, Elsevier, vol. 6(3), pages 263-273, June.
- David Card & Abigail A. Payne, 1997. "School Finance Reform, the Distribution of School Spending, and the Distribution of SAT Scores," Working Papers 766, Princeton University, Department of Economics, Industrial Relations Section..
- David Card & A. Abigail Payne, 1998. "School Finance Reform, the Distribution of School Spending, and the Distribution of SAT Scores," NBER Working Papers 6766, National Bureau of Economic Research, Inc.
- repec:pri:indrel:dsp016395w7105 is not listed on IDEAS
- Graham, Amy E. & Husted, Thomas A., 1993. "Understanding state variations in SAT scores," Economics of Education Review, Elsevier, vol. 12(3), pages 197-202, September.
- Downes, Thomas A., 1992. "Evaluating the Impact of School Finance Reform on the Provision of Public Education: The California Case," National Tax Journal, National Tax Association, vol. 45(4), pages 405-419, December.
- repec:fth:prinin:387 is not listed on IDEAS
- Caroline Minter Hoxby, 1994. "Do Private Schools Provide Competition for Public Schools?," NBER Working Papers 4978, National Bureau of Economic Research, Inc.
- Downes, Thomas A., 1992. "Evaluating the Impact of School Finance Reform on the Provision of Public Education: The California Case," National Tax Journal, National Tax Association, vol. 45(4), pages 405-19, December. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:ucp:jlawec:v:43:y:2000:i:1:p:285-308. 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: (Journals Division)
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.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 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.