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A Classic Economies of Size Analysis of Average School Costs: An Iowa Case Study


  • Edelman, Mark
  • Knudsen, James J.


This study found size economies in Iowa school districts. An asymmetric U-shaped cost curve provided the best fit. Costs were minimized at 2,952 per pupil and 2,442 pupils, but most size economies-within 100 per pupil-were achieved at 800 to 900 pupils. Implications for school reorganization were discussed.

Suggested Citation

  • Edelman, Mark & Knudsen, James J., 1990. "A Classic Economies of Size Analysis of Average School Costs: An Iowa Case Study," Staff General Research Papers Archive 11035, Iowa State University, Department of Economics.
  • Handle: RePEc:isu:genres:11035

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    References listed on IDEAS

    1. Bruce L. Gardner, 1976. "Futures Prices in Supply Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 58(1), pages 81-84.
    2. Diewert, W. E., 1973. "Functional forms for profit and transformation functions," Journal of Economic Theory, Elsevier, vol. 6(3), pages 284-316, June.
    3. Lopez, Ramon E, 1985. "Structural Implications of a Class of Flexible Functional Forms for Profit Functions," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 26(3), pages 593-601, October.
    4. Wallace E. Huffman, 1977. "Allocative Efficiency: The Role of Human Capital," The Quarterly Journal of Economics, Oxford University Press, vol. 91(1), pages 59-79.
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    Cited by:

    1. Edelman, Mark, 2000. "Potential Cost Savings and Framework of Strategies for Improved Delivery of Government Services," Staff General Research Papers Archive 2074, Iowa State University, Department of Economics.
    2. World Bank, 2014. "Moldova Public Expenditure Review : Reforming Local Public Finance for More Efficient, Equitable, and Fiscally Sustainable Subnational Spending," World Bank Other Operational Studies 19306, The World Bank.
    3. Edelman, Mark A., Dr., 2000. "Potential Cost Savings and Framework of Strategies for Improved Delivery of Government Services," ISU General Staff Papers 200005010700001337, Iowa State University, Department of Economics.

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