 Centralization of school finance in MichiganPaul Courant and
Susanna Loeb
Journal of Policy Analysis and Management, 1997, vol. 16, issue 1, 114-136 Abstract: School finance reform in Michigan involved centralization (at the state level) of spending decisions about schools, a large tax shift (mostly from property to sales), and a small tax cut. The changes came about after two decades of failed attempts to reduce property taxes in the state, and were the immediate result of an unlikely piece of legislation that abolished all funding for public schools. Unlike most centralized systems, foundation grants in Michigan differ by district. Distributionally, the reforms favor residents of small, rural districts (whose spending was increased sharply). Residents of poorer urban areas, including Detroit, lost net income as a result of the reforms, as did residents of some of the richest suburbs in the state. Michigan permits a number of districts to supplement their foundation grants by limited amounts, a strategy that we argue may be a promising way of combining the efficiency benefits of local control with the equity benefits of foundation grant systems. Date: 1997 There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:wly:jpamgt:v:16:y:1997:i:1:p:114-136 DOI: 10.1002/(SICI)1520-6688(199724)16:1<114::AID-PAM6>3.0.CO;2-I Access Statistics for this article More articles in Journal of Policy Analysis and Management from John Wiley & Sons, Ltd. |
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