Voucher programs consist of three simultaneous reforms: (1) allowing parents to choose schools, (2) creating intense incentives for schools to increase enrollment, and (3) granting schools management autonomy to respond to demand. As a result, voucher advocates and critics tend to talk past each other. A principal-agent framework clarifies the argument for education vouchers. Central findings from the literature, including issues related to variance in the performance measure, risk aversion, the productivity of more effort, multiple tasks, and the value of monitoring are found relevant for an analysis of vouchers. An assessment of findings on voucher programs in industrial countries, as well as a review of voucher or quasi-voucher experiences in Bangladesh, Chile, Colombia, Côte d'Ivoire, and the Czech Republic support the usefulness of the analytic framework. Gauri and Vawda conclude that vouchers for basic education in developing countries can enhance outcomes when they are limited to modest numbers of poor students in urban settings, particularly in conjunction with existing private schools with surplus capacity. The success of more ambitious voucher programs depends on an institutional infrastructure challenging to industrial and developing countries alike. This paper--a joint product of Public Services, Development Research Group, and the Education Team, Human Development Network--is a background paper for the 2004 World Development Report.

The book offers an overview of international examples, studies, and guidelines on how to create successful partnerships in education. PPPs can facilitate service delivery and lead to additional financing for the education sector as well as expanding equitable access and improving learning outcomes.

A Brookings Institution Press, Committee for Economic Development, and Urban Institute Press publication For decades, the use of vouchers has been widely debated. But often lost in the heat of debate is the fact that vouchers are just another tool in the government's tool chest, a restricted subsidy that falls somewhere between the extremes of cash and direct government provision of services. The instrument itself is not new—the 1944 GI Bill of Rights was a voucher, and vouchers for food, college aid, and housing have been in place for decades. Until now, however, the study of vouchers has been restricted to a few controversial applications. This volume, which grew out of a conference sponsored by the Brookings Institution, the Urban Institute, and the Committee for Economic Development, fills the gap, offering a framework for comparative analysis of specific policy issues related to vouchers. Its 16 essays address the economics, politics, and legal issues of voucher use and explore how vouchers are currently employed in the United States and abroad for education, child care, job training, housing, and health care. C. Eugene Steuerle is a senior fellow at the Urban Institute and has worked under four different U.S. presidents on a variety of reform issues in such areas as social security, budget, tax, and health policy. Robert D. Reischauer, a senior fellow in Economic Studies at the Brookings Institution, was director of the Congressional Budget Office from 1989 to 1995. George Peterson is a senior fellow at the Urban Institute; from 1976 to 1985 he directed the Institute's Public Finance Research Center. Van Doorn Ooms, senior vice president and director of research at the Committee for Economic Development, was formerly executive director for policy and chief economist of the Committee on the Budget, U.S. House of Representatives, 1989-1990, and was the Budget Committee's chief economist from 1981 to 1988.

While public-private partnerships in education in the United States have received a lot of attention, research on such partnerships elsewhere has been limited--even though such partnerships have been steadily gaining prominence, particularly in developing countries. Aiming to fill this gap, this book presents fresh, technically sound empirical evidence on the effectiveness and cost of various public-private education partnerships from around the world, including voucher programs and faith-based schools. The evidence on the impact in terms of school performance, targeting, and cost of public-priv.

Now that the U.S. Supreme Court has declared school voucher programs constitutional, the many unanswered questions concerning the potential effects of school choice will become especially pressing. Contributors to this volume draw on state-of-the-art economic methods to answer some of these questions, investigating the ways in which school choice affects a wide range of issues. Combining the results of empirical research with analyses of the basic economic forces underlying local education markets, The Economics of School Choice presents evidence concerning the impact of school choice on student achievement, school productivity, teachers, and special education. It also tackles difficult questions such as whether school choice affects where people decide to live and how choice can be integrated into a system of school financing that gives children from different backgrounds equal access to resources. Contributors discuss the latest findings on Florida's school choice program as well as voucher programs and charter schools in several other states. The resulting volume not only reveals the promise of school choice, but examines its pitfalls as well, showing how programs can be designed that exploit the idea's potential but avoid its worst effects. With school choice programs gradually becoming both more possible and more popular, this book stands out as an essential exploration of the effects such programs will have, and a necessary resource for anyone interested in the idea of school choice.

Fifty years ago, Milton Friedman had the ground-breaking idea to improve public education with school vouchers. By separating government financing of education from government administration of schools, Friedman argued, “parents at all income levels would have the freedom to choose the schools their children attend.” Liberty & Learning is a collection of essays from the nation’s top education experts evaluating the progress of Friedman’s innovative idea and reflecting on its merits in the 21st century. The book also contains a special prologue and epilogue by Milton Friedman himself. The contributors to this volume take a variety of approaches to Friedman’s voucher idea. All of them assess the merit of Friedman’s plan through an energetic, contemporary perspective, though some authors take a theoretical position, while others employ a very pragmatic approach.

This publication is a practitioner's guide for analyzing the distributional impact of reforms to trade, monetary and exchange rate policy, utility provision, agricultural markets, land policy and education. These six areas of policy reform are the ones most likely to have an impact on distribution and poverty. Such analysis helps in policy formulation and development and for implementing poverty reduction strategies in developing countries. Each chapter in this volume provides an overview and guidance on the specific issues arising in the analysis of the distributional impacts of policy and institutional reforms in selected sectors.