This book summarizes previous research on the major causes of expenditure inequality and fiscal imbalance in public school finance, in addition to presenting original findings that identify the most important causes and most effective cures for these problems. It also identifies and documents corollary improvements that can be expected from various public school finance reforms, both in the short run and the long run. The book's conclusions are based on evidence from a survey of educational finances in each of the 50 states and a more detailed look at policy patterns in the 100 largest metropolitan areas. Individual chapters focus in turn on 1) nine proposed solutions to inequalities in public school finance, 2) causes of statewide expenditure inequalities, 3) effects of state aid, federal aid, and nonproperty taxes on fiscal imbalance, 4) fractional property valuation and fiscal inequality, 5) effects of governmental fragmentation, state aid, and property taxes on racial segregation, 6) governmental fragmentation and public school expenditures, 7) causes of expenditure inequality within metropolitan areas, and 8) long-term benefits of public school finance reform. (Author/JG)