Education spending, pupil attainment and causality

Professor of Economics Director of the Centre for Market and Public Organisation

Simon Burgess, Professor of Economics &
Director of the Centre for Market and Public Organisation

In these hard times, spending government money effectively is more important than ever. Last week Fraser Nelson challenged the effectiveness of spending in schools, one of the areas relatively protected from Coalition cuts. He said: “The biggest surprise, though, was the money: no matter how you split the figures, the amount spent didn’t seem to make the blindest bit of difference”, his reading of a report by Deloitte commissioned by the Department for Education.

What is the evidence? In fact, it is surprisingly difficult to establish the impact of spending more money on student achievement. This is partly due to shortage of data (researchers always want more data), but there is a more fundamental reason too. Continue reading