The Twisted Relationship Between School Spending and Academic Outputs: in Search of a New Metaphor

Abstract

In this commentary we explore both putative and potential relationships between school funding and educational outcomes, for which numerous indices and variables have been examined during the past two decades. We conclude that despite large increases in real dollars, there is no readily discernable link between inputs and outputs, although when statistical control is exerted over prior ability, school mix, and teacher turn-over, certain causal inferences appear warranted. However, it can be argued that the dominant analogy should be reconsidered, and schools serving large numbers of needy children may require higher inputs to keep from further declines, much like certain departments of a hospital require disproportionately more resources than others in order to be successful because they deal with problems that are more severe.