Citation

Querying the Economics of Low Price for Profit Private Schools and Efficient Markets

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Abstract:

Low price fee paying private schools are argued to be a more efficient means of providing educational services to the poor than publicly financed schools. The proposition depends on the presumed effects of market competition on quality and performance, the existence of choice unhindered by price, the incentives that for profit providers have to lower costs and manage resources efficiently, and the acceptance of the idea that risk is shared and not systemic. This paper argues that these propositions are flawed, competition can lead to local monopolies, choice is often absent in practice, lower costs does not necessarily mean lower prices, and the real risks of privatising services for the poorest are largely ignored. There is no consistent theory of low price for profit private schooling that can deliver services to low income households that is attractive in rich or poor countries, especially if social cohesion and equality of opportunity are core principles of educational development.
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Association:
Name: Comparative and International Education Society Annual Conference
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http://www.cies.us


Citation:
URL: http://citation.allacademic.com/meta/p729771_index.html
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MLA Citation:

Lewin, Keith. "Querying the Economics of Low Price for Profit Private Schools and Efficient Markets" Paper presented at the annual meeting of the Comparative and International Education Society Annual Conference, Sheraton Centre Toronto, Toronto, Ontario, Canada, <Not Available>. 2014-12-10 <http://citation.allacademic.com/meta/p729771_index.html>

APA Citation:

Lewin, K. "Querying the Economics of Low Price for Profit Private Schools and Efficient Markets" Paper presented at the annual meeting of the Comparative and International Education Society Annual Conference, Sheraton Centre Toronto, Toronto, Ontario, Canada <Not Available>. 2014-12-10 from http://citation.allacademic.com/meta/p729771_index.html

Publication Type: Panel Paper
Abstract: Low price fee paying private schools are argued to be a more efficient means of providing educational services to the poor than publicly financed schools. The proposition depends on the presumed effects of market competition on quality and performance, the existence of choice unhindered by price, the incentives that for profit providers have to lower costs and manage resources efficiently, and the acceptance of the idea that risk is shared and not systemic. This paper argues that these propositions are flawed, competition can lead to local monopolies, choice is often absent in practice, lower costs does not necessarily mean lower prices, and the real risks of privatising services for the poorest are largely ignored. There is no consistent theory of low price for profit private schooling that can deliver services to low income households that is attractive in rich or poor countries, especially if social cohesion and equality of opportunity are core principles of educational development.


Similar Titles:
Private for Profit Secondary Schools in Malawi: A Solution to a Problem or a Problem for Solution?

Providing for the Priceless Student: Ideologies of Choices in a Private School Market

Moral Panic and Market Forces: Value, Price, and Profit in Domestic Adolescent Sex Markets

Governance of public, non-profit, and private organizations in economic development


 
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