IDEAS home Printed from https://ideas.repec.org/p/ucy/cypeua/09-2013.html
   My bibliography  Save this paper

Consumers’ Valuation of Academic and Equality-inducing Aspects of School Performance in England

Author

Listed:
  • Sofia N. Andreou
  • Panos Pashardes

Abstract

This paper investigates the willingness of households to pay for academic and equality-inducing (deprivation-compensating) components of the Contextual Value Added (CVA) indicator of school quality used in England. Semi-parametric and parametric analysis shows that consumers are willing to pay for houses in the catchment area of primary and secondary schools with high academic achievement, as measured by the mean score; whereas, the component of the CVA indicating equality-inducing aspects of school performance is found to have a positive effect only on the price of houses in the catchment area of primary schools in London; its impact on the price of houses elsewhere is mostly negative. The role played by the CVA as a guide to choosing a school and the implications which our results can have for school funding are considered.

Suggested Citation

  • Sofia N. Andreou & Panos Pashardes, 2013. "Consumers’ Valuation of Academic and Equality-inducing Aspects of School Performance in England," University of Cyprus Working Papers in Economics 09-2013, University of Cyprus Department of Economics.
  • Handle: RePEc:ucy:cypeua:09-2013
    as

    Download full text from publisher

    File URL: http://papers.econ.ucy.ac.cy/RePEc/papers/09-13.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Sandra E. Black, 1999. "Do Better Schools Matter? Parental Valuation of Elementary Education," The Quarterly Journal of Economics, Oxford University Press, vol. 114(2), pages 577-599.
    2. David Brasington & Donald R. Haurin, 2006. "Educational Outcomes and House Values: A Test of the value added Approach," Journal of Regional Science, Wiley Blackwell, vol. 46(2), pages 245-268.
    3. Caroline M. Hoxby, 2000. "Does Competition among Public Schools Benefit Students and Taxpayers?," American Economic Review, American Economic Association, vol. 90(5), pages 1209-1238, December.
    4. Lorraine Dearden & Alfonso Miranda & Sophia Rabe‐Hesketh, 2011. "Measuring School Value Added with Administrative Data: The Problem of Missing Variables," Fiscal Studies, Institute for Fiscal Studies, pages 263-278.
    5. Clinch, J Peter & Murphy, Anthony, 2001. "Modelling Winners and Losers in Contingent Valuation of Public Goods: Appropriate Welfare Measures and Econometric Analysis," Economic Journal, Royal Economic Society, vol. 111(470), pages 420-443, April.
    6. Paul Cheshire & Stephen Sheppard, 2004. "Capitalising the Value of Free Schools: The Impact of Supply Characteristics and Uncertainty," Economic Journal, Royal Economic Society, vol. 114(499), pages 397-424, November.
    7. Gibbons, Steve & Machin, Stephen, 2003. "Valuing English primary schools," Journal of Urban Economics, Elsevier, vol. 53(2), pages 197-219, March.
    8. Stephen Gibbons & Stephen Machin, 2008. "Valuing school quality, better transport, and lower crime: evidence from house prices," Oxford Review of Economic Policy, Oxford University Press, vol. 24(1), pages 99-119, spring.
    9. Rosen, Sherwin, 1974. "Hedonic Prices and Implicit Markets: Product Differentiation in Pure Competition," Journal of Political Economy, University of Chicago Press, vol. 82(1), pages 34-55, Jan.-Feb..
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Consumer Valuation; Education Equality; School Performance; Hedonic Analysis; Contextual Value Added;

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:ucy:cypeua:09-2013. 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: (). General contact details of provider: http://www.ucy.ac.cy/econ/en .

    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 CitEc recognized a reference but did not link an item in RePEc 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 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.