Introducing School Choice into Multidistrict Public School Systems
In: The Economics of School Choice
Predicting the impact of school finance and school choice policies is complicated in large part because of the multitude of household choices that are simultaneously influenced within a general equilibrium setting. Parents choose which neighborhoods in which school districts to reside in, which schools - public or private - to send their children to, and how to participate in political process that affects education policies. As a result of these choices, property values and therefore budget sets change as different policies are introduced, and the nature of schools changes as inputs - including different mixes of children and parents - change. Furthermore, school administrators in both private and public schools may change their behavior under different institutional arrangements. The purpose of this paper is therefore to shed light on how school choice policies change opportunities faced by different types of households and their children as the general equilibrium forces unfold. The analysis employs general equilibrium simulations to accomplish this. These simulations are derived from a three-district model of low, middle and high-income school districts (calibrated to New York data) with housing stocks that vary within and across districts. The advantage of this approach is that, rather than starting from an abstract and idealized public school system, it allows the analysis to proceed from a base model that replicates the actual stylized facts that emerge from the data - including public school systems with wide inter-district variations of school quality, communities with housing stocks similar to those observed in the data, etc. Furthermore, the data are used to infer specific parameters in behavioral equations, parameters that are consistent with the present state of the world. Policies then unfold in the model under the assumptions that household responses will be consistent with these parameters. Previous analysis conducted with this model has yielded a va
(This abstract was borrowed from another version of this item.)
|This chapter was published in: ||This item is provided by National Bureau of Economic Research, Inc in its series NBER Chapters with number
10088.||Handle:|| RePEc:nbr:nberch:10088||Contact details of provider:|| Postal: |
Web page: http://www.nber.org
More information through EDIRC
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.:
- Dennis Epple & Holger Sieg, 1999. "Estimating Equilibrium Models of Local Jurisdictions," Journal of Political Economy, University of Chicago Press, vol. 107(4), pages 645-681, August.
- Elizabeth M. Caucutt, 2001. "Peer group effects in applied general equilibrium," Economic Theory, Springer, vol. 17(1), pages 25-51.
- Epple, Dennis & Platt, Glenn J., 1998. "Equilibrium and Local Redistribution in an Urban Economy when Households Differ in both Preferences and Incomes," Journal of Urban Economics, Elsevier, vol. 43(1), pages 23-51, January.
- Brunner, Eric & Sonstelie, Jon & Thayer, Mark, 2001. "Capitalization and the Voucher: An Analysis of Precinct Returns from California's Proposition 174," Journal of Urban Economics, Elsevier, vol. 50(3), pages 517-536, November.
- Bearse, P. & Glomm, G. & Ravikumar, B., 1999.
"On the Political Economy of Means-Tested Education Vouchers,"
9904, Michigan State - Econometrics and Economic Theory.
- Bearse, Peter & Glomm, Gerhard & Ravikumar, B., 2000. "On the political economy of means-tested education vouchers," European Economic Review, Elsevier, vol. 44(4-6), pages 904-915, May.
- Sandra E. Black, 1997.
"Do better schools matter? Parental valuation of elementary education,"
9729, Federal Reserve Bank of New York.
- Sandra E. Black, 1999. "Do Better Schools Matter? Parental Valuation Of Elementary Education," The Quarterly Journal of Economics, MIT Press, vol. 114(2), pages 577-599, May.
- Epple, Dennis & Romano, Richard E., 1996. "Ends against the middle: Determining public service provision when there are private alternatives," Journal of Public Economics, Elsevier, vol. 62(3), pages 297-325, November.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberch:10088. 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: ()
If references are entirely missing, you can add them using this form.