Péter Radó: Financing for Eqity in Education
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Transcript of Péter Radó: Financing for Eqity in Education
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Equity of Financingand
Financing for Equity
The best fit of financing to a more equitable education system
Péter Radóeducational policy specialist
senior consultant, Expanzió Consulting Ltd.
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Equity
in
Education
Socio-economic status
Residential status
Ethnicity, mother tongue
Gender
Impaired personal abilities
The institutional operation of schools
Teaching
Leraning
Progression and perticipation
(enrollment rates , early school leaving, droput , dead end tracks , etc.)
Learning outcomes
(low competenciy levels in key competency
areas )
The dimensions of education relevant
social disadvantagesThe way how education service providers work
The various forms of school failure
E q u a l C h a n c e s E q u i t y
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Financing
for Equity
Two competing basic principles
Categorical equity: unit cost (standardized inputs) are emphasized andequalized (the traditional access-oriented framework)
Fiscal neutrality: learning outcomes and choice are emphasized, inputsare adjusted (financial argument for decentralization)
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Key
systemic
factors
GovernanceThe systemicenvironmentthat determines thelatitude for schooloperations
The quality ofteaching and schools
School SystemCharacteristicsExternal challengeswith high impact on theschool system
Allocation of financial resurces
Governance / management
Curriculum and standards
Initial teacher training
Information system Research &
Development
Textbooks and teaching materials
Schools
Curriculum and standards
Quality evaluationProfessional
services
Demographic trends and their impact
New technologies (digital natives in the schools )
Fragmentation of learning pathways
External social pressure(social and ethnic
stratification )
Changing expectations → weakening relevance
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Equity
context
• The magnitude of school failure in Serbia: more than fifth of students do not reach secondary enrollment, nine out of ten Roma children do not complete primary, more than half of the 15 years olds are functional illiterates = education gets rid of the most „problematic” children and offer poor average quality to the rest.
• Large inequities and poor average quality is caused buy the combined effect of the failure of schools and governance failures
• Distinction between medium- and long-term policy objectives.
– Medium-term: improving participation (increased enrollment, decreased dropout and early school leaving)
– Long term: improving learning outcomes (reduced learning failures)
• Primary objective: enabling schools to respond to equity challenges by placing them to the appropriate systemic environment and by empowering them with the necessary pedagogical and institutional capacities
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Policy
context
Overcoming governance failures• Making school failures visible, strengthening professional
accountability• Generating vested interests for avoiding school failure• Making easily accessible professional support to schools
and children available• Extending the scope of professional, organizational and
financial autonomy of schools• Effective anti-discrimination measures, strengthening legal
accountability
Acculturation of schools (teaching + school operations)
• Making teaching more differentiated• Providing individualized supplementary support (drop-out
prevention, inclusion)• Adjusting school operations to the problems to be solved
(self-evaluation based school improvement)
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The potential of normative financingThe decline of dropout in primary education in Hungary after
introducing per capita financing in 1991.
School year Completion rate Number of school leavers without
completed primary
1990/91 92,9 10300
1991/92 93,5 12400
1992/93 94,5 10000
1993/94 96,1 6800
1994/95 96,0 6600
1995/96 96,8 5000
1996/97 96,5 5200
1997/98 95,2 5000
1998/99 96,2 5200
1999/00 97,5 5000
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How can be the vested interest of schools in full enrollment created?
• Per capita based financial allocation
+ Setting hard budgetary constraints (it’s not automatically flows from normative financing!)
+ Perpetual adjustment of the capacities to the declining number of students enrolled (= local ownership instead of brainless central school network rationalization campaigns)
→ Two layers financial allocation system
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Financial relationships at two levelsCentral financingTechnically easy automatism thatensures minimum level efficiency+ allows for flexible local financingregimes with revenue sharing +allows for using financing as policyinstrument
Local financingBy balancing incomes and costharmonizes the distinct logic ofcentral financing and school levelplanning + allows space foradjusting to the diversity of localand school level diversity ofeducational needs
Schools
School owners
State budget
Financing of school owners
(per capita based allocation with supplementary
incentives)
Financing of schools(on the basis of number of classes and the tasks that
schools perform)
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Summarry
Financing for mainstreaming
Centralized financing on a historical basis: schools are financed regardless of the task they perform (→ pupils with specific needs are taught in separate schools)
Decentralized financing on the basis of categorical equity: emphasis of fairness of allocation ↔integration is financed but not inclusion → no space for ensuring fairness of outcomes
Decentralized financing on the basis of fiscal neutrality: mainstreaming is financed = integration + differentiation + individualized supplementary support
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An
example
The evolution of Roma educational policies• „Paper based” demonstration policies
– Success reports for the international community– Financing: long list of small-scale grass-root projects
mainly funded by the donor agencies
• „Ghettoized” policies– Roma education strategies or medium-term working plans
(compilations)– Financing: set-aside for small grants + scholarship
schemes + limited resources for development
• „Mainstreamed” policies– Operationalization and implementation of mainstream
strategies– Financing:
• Roma education is a „horizontal goal”• Funding is incorporated to the normal allocation
system (i.e. incentives)• Direct costs of development