IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

Heterogeneity in Financial Incentives for High and Low Income School Districts

Listed author(s):
  • George Bulman


    (Stanford University)

Registered author(s):

    Students who attend schools in low income communities have significantly lower achievement and make smaller gains than their counterparts in high income communities. Explanations for this achievement gap are generally based on constraints in financial resources. However, when equalizing financial resources fails to close the gap in practice, the residual is attributed to student aptitude and family spillovers. This paper explicitly tests for the presence of heterogeneity in school district incentives as an alternative to these explanations. A rich data set of Ohio house sales, characteristics and construction quality is used to estimate the responsiveness of the property tax base to school quality across high and low income districts. Estimates indicate that house prices are more responsive to quality in high income suburban districts than in low income urban districts. This provides direct evidence that residents of high income districts are more willing and able to pay for education quality, which translates into stronger incentives for the districts that serve them.

    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.

    File URL:
    Download Restriction: no

    Paper provided by Stanford Institute for Economic Policy Research in its series Discussion Papers with number 10-010.

    in new window

    Date of creation: Nov 2010
    Handle: RePEc:sip:dpaper:10-010
    Contact details of provider: Postal:
    366 Galvez Street, Stanford, California 94305-6015

    Phone: (650) 725-1874
    Fax: (650) 723-8611
    Web page:

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:sip:dpaper:10-010. 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: (Anne Shor)

    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.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.