School Behaviour in a Local Quasi-Market
Recent reforms in the UK have attempted to increase the degree of competition in schooling markets. In this paper we develop a simple model to analyse school behaviour in the type of local quasi-markets created by these reforms. The distinctive features of this model are that both the quantity and quality of educational outcomes are included, with peer group effects explicitly considered as a determinant of the latter. Concentrating on school behaviour, we show that quasi-market reforms can lead to diverging school performance in local markets.
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- Hanushek, Eric A, 1992. "The Trade-Off between Child Quantity and Quality," Journal of Political Economy, University of Chicago Press, vol. 100(1), pages 84-117, February.
- Meyer, Robert H., 1997. "Value-added indicators of school performance: A primer," Economics of Education Review, Elsevier, vol. 16(3), pages 283-301, June.
- Eric A. Hanushek, 1979. "Conceptual and Empirical Issues in the Estimation of Educational Production Functions," Journal of Human Resources, University of Wisconsin Press, vol. 14(3), pages 351-388.
- Glennerster, Howard, 1991. "Quasi-markets for Education?," Economic Journal, Royal Economic Society, vol. 101(408), pages 1268-76, September.
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