Does Money Matter in Education? Second Edition

Does Money Matter in Education? Second Edition

The following post presents research or analyses from outside KASB and is presented for information purposes.  KASB neither endorses nor refutes the conclusions or recommendations contained herein.

Earlier this year, the Albert Shanker Institute published the second edition of a report entitled “Does Money matter in Education” written by Bruce D. Baker of Rutgers University.  This is a follow-up to his landmark review of existing research on the connection between education funding and outcomes.  In it, he makes the following conclusions:
  1. Does money Matter? Yes. On average, aggregate measures of per-pupil spending are positively associated with improved or higher student outcomes.
  2. Do schooling resources that cost money matter? Yes. Schooling resources that cost money, including smaller class sizes, additional supports, early childhood programs and more competitive teacher compensation (permitting schools and districts to recruit and retain a higher-quality teacher workforce), are positively associated with student outcomes.
  3. Do state school finance reforms matter? 
Yes. Sustained improvements to the level and distribution of funding across local public school districts can lead to improvements in the level and distribution of student outcomes.
KASB has prepared an online summary of the report, which can be found here.  You can also read the full report here.