ERIC Number: ED389062
Record Type: RIE
Publication Date: 1995
How Education Spending Matters to Economic Development.
National Education Association, Washington, DC. Research Div.
This booklet presents findings of a study that examined the link between state education spending and economic development. Chapter 1 defines economic development and identifies principles of successful economic development. Chapter 2 examines in what way education (described in terms of human capital) is important to economic development and how this is known. The third chapter examines the link between education spending and economic development and describes how education spending has been shown to have a positive impact on a variety of economic outcomes, including jobs and earning. Chapter 4 explores the important relationship between education spending and student achievement by looking at both sides of the debate over whether "money matters." The economic-development consequences of acting as though money did not matter are examined in the fifth chapter. Chapter 6 presents the conclusion that increased spending on education can have a significant impact on a city's, region's, or state's economy, if done properly, and suggests ways that states can make education investments to achieve this impact. The conclusion is that simply investing more money in education--without changes in the way education dollars are spent--will not alone lead to greater student outcomes. Economic spending must be increased, especially in poor districts, if all students are to be provided with equal opportunities to learn the skills required for success in the new economy. Cities and states can make wise choices by looking at education spending as one of the most critical investments in long-term economic health. Two figures are included. (LMI)
Descriptors: Academic Achievement, Economic Development, Educational Finance, Elementary Secondary Education, Expenditures, Performance, Resource Allocation
NEA Professional Library, P.O. Box 509, West Haven, CT 06516.
Publication Type: Reports - Research
Education Level: N/A
Authoring Institution: National Education Association, Washington, DC. Research Div.