Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/108117
Authors: 
Hermann, Zoltán
Year of Publication: 
2007
Series/Report no.: 
IEHAS Discussion Papers MT-DP - 2007/8
Abstract (Translated): 
The paper analyses disparities in local education expenditures at the settlement and school level n Hungary. It is shown that local average income, which is a major element of the local government budget constraint, has a strong impact on school expenditures, especially in towns. This lack of fiscal neutrality implies that settlements with a higher share of socially disadvantaged children spend somewhat less on education. In case of towns, this between settlement effect is offset by within settlement disparities in expenditures: schools with relatively more disadvantaged pupils tend to have a larger budget compared to other schools of the same town. Considering village and town schools together indicates, that the higher is the share of poor children in a school, the lower are per capita expenditures on average. Though the magnitude of the effect is small, it reveals a fundamental equity problem. While the successful education of disadvantaged pupils might require substantial additional resources, the pubic education system in Hungary can not provide school with these resources now.
Subjects: 
School expenditures
interjurisdictional disparities
wealth neutrality of education expenditures
ISBN: 
978-963-9796-07-2
Document Type: 
Working Paper

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