Public- and Private-School Competition: The Spatial Education Production Function

David Brasington

Chapter 10. in Time and Space in Economics, 2007, pp 175-203 from Springer

Abstract: Summary School vouchers may increase the competition that public-school districts face. Greater competition may spur public schools to improve student outcomes, which reliably predict labor market productivity and earnings. Previous school competition studies did not use spatial statistics, so they failed to incorporate spillovers and the effect of omitted variables into their education production functions. Significant spatial effects are found in all regressions, and spatial statistics improve adjusted R 2 values. There seems to be no consistent association between private-school attendance rates and public-school achievement, or between the number of public-school districts in a county and public-school performance. Competitive effects, which seem plausible in nonspatial regressions, dissipate when spatial statistics are used. When school inputs appeared to be statistically significant in nonspatial regressions, the spatial regressions generally made the significance disappear. Poverty appeared to depress reading and writing rates, but this effect disappeared in the spatial models.

Keywords: Spillovers; Human capital formation; Spatial statistics; School vouchers; Private- and public-school competition (search for similar items in EconPapers)
Date: 2007
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Working Paper: Public and Private School Competition: The Spatial Education Production Function (2005)
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DOI: 10.1007/978-4-431-45978-1_10

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