Fiscal and education spillovers from charter school expansion

Matthew Ridley and Camille Terrier

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: The fiscal and educational consequences of charter expansion for non-charter students are central issues in the debate over charter schools. Do charter schools drain resources and high-achieving peers from non-charter schools? This paper answers these questions using an empirical strategy that exploits a 2011 reform that lifted caps on charter schools for underperforming districts in Massachusetts. We use complementary synthetic control instrumental variables (IV-SC) and differences-in-differences instrumental variables (IV-DiD) estimators. The results suggest greater charter attendance increases per-pupil expenditures in traditional public schools and induces them to shift expenditure from support services to instruction and salaries. At the same time, charter expansion has a small positive effect on non-charter students’ achievement.

Keywords: charter school; competition; fiscal spillover; achievement; synthetic control (search for similar items in EconPapers)
JEL-codes: C10 C3 H23 H39 I22 I28 (search for similar items in EconPapers)
Date: 2018-09
New Economics Papers: this item is included in nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

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http://eprints.lse.ac.uk/91700/ Open access version. (application/pdf)

Related works:
Working Paper: Fiscal and education spillovers from charter school expansion (2018)
Working Paper: Fiscal and Education Spillovers from Charter School Expansion (2018)
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Persistent link: https://EconPapers.repec.org/RePEc:ehl:lserod:91700

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