We investigate the relative merits of unconditional cash transfers (UCT), conditional cash transfers (CCT), and the effects of improvements in education quality on efficiency and welfare. In our setting, some parents underinvest in their children's education because capital market imperfections prevent them from borrowing. Under sufficiently…

GM(1,1) and GM(1,1) rolling models derived from grey system theory were estimated using time-series data from projection studies by National Center for Education Statistics (NCES). An out-of-sample forecasting competition between the two grey prediction models and exponential smoothing used by NCES was conducted for education expenditure and…

We estimate the impact of increases in Federal student aid and higher education funding, such as the recently proposed American Graduation Initiative (AGI), on the outcomes of community colleges, including enrollments, list and average tuitions, and educational quality. We develop a reduced form model of state-level education policy in which state…

Despite a large literature examining the effect of litigation on education finance and student achievement, there is relatively little recent evidence about how extra resources generated by litigation are spent. This paper uses national data to examine the effects of high court finance rulings from 1991 to 2002 on school districts' education…

Governments introducing output parameters (e.g. graduation numbers) in the funding rule of universities believe that it will induce universities to raise their teaching efforts while educational standards will remain unaffected. In this article we first show on theoretical grounds that this desire can only be fulfilled if there exist positive…

We examine the effects of Title I on school behavior, resources, and academic performance using a rich set of school finance and student-level achievement data from one large urban school district using a regression discontinuity design. We find that Title I eligibility raises Federal revenues of schools by about $460 per student. This is…

This paper provides evidence on strategic interaction among public school districts in Massachusetts. The open enrollment program in Massachusetts is unique in testing the strategic competition thesis because it allows students to attend public schools located outside their home district. For each student who transfers out, funds are deducted from…

We evaluate the contribution of investment on education to Sri Lanka's economic growth during the period 1959-2008. Physical capital, economic policy changes and the ethnic war are also evaluated due to their substantial importance. This study uses a framework encompassing both the neoclassical and endogenous growth model. The impact of education…

With an exogenous public subsidy and a break-even restriction on university net revenue, tuition discrimination supports a quasi-efficient departure from marginal-cost pricing. In contrast, when the legislature and university interact in their subsidy and tuition decisions, the public subsidy becomes endogenous. With an endogenous public subsidy,…

This paper examines the competitive effects of a unique school choice program implemented in the late 1990s, Wisconsin's open enrollment program, which allows families to send their children to schools outside their home district. In contrast to other school choice programs, districts not only face negative consequences from losing students and…

This study estimates the value of the private and public benefits that accrue to Minnesota residents from state government subsidies to higher education. In 2005, the University of Minnesota and the Minnesota State Colleges and Universities system received $832 million from Minnesota's state government to support educational programs. These…

Over the last 20 years, states and provinces have become increasingly involved in the financing and administration of elementary and secondary education. Local school boards, however, still retain control over key aspects of the provision of education. Historically, these boards were organized at the community level so as to meet the wants of the…

Class-size reduction (CSR) mandates presuppose that resources provided to reduce class size will have a larger impact on student outcomes than resources that districts can spend as they see fit. I estimate the impact of Florida's statewide CSR policy by comparing the deviations from prior achievement trends in districts that were required to…

This paper studies the optimal allocation of resources--in terms of school management, teachers, supporting employees and materials--in secondary schools. We use a flexible budget constrained output distance function model to estimate both technical and allocative efficiency scores for 448 Dutch secondary schools between 2002 and 2007. The results…

Evidence on the effectiveness of school inputs remains inconclusive, partly due to the challenge of identification as families sort themselves into school districts and resources are potentially allocated to compensate (or reinforce) differences in pupil abilities. Using variation in school resources induced by the location of waterfalls in…