Public debate about school choice is often polarized between those who favor and oppose total free markets in education. However, the serious intellectual work on choice focuses on more moderate alternatives that involve a mixture of public and private accountability. A regulated market model of educational accountability would mix government regulation, options for families, and entrepreneurship on the supply side. It would sustain a role for government in licensing schools, protecting children, punishing misrepresentation, and ensuring free flow of information. This article shows how a regulated market in education would work and how one could be created.