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Public Economics - Essay Example

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The purpose of this essay is to critically discuss the role of parental choice in deciding the school so as to understand whether such a policy will be beneficial or harmful, from an economic point of view. The primary counter-argument against this topic is that if this method is followed…
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Public Economics
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Public Economics

Download file to see previous pages... The major problem in the idea of dismantling monopoly of public school stems from the fact that such an approach will improve quality of public education by increasing competition among schools.  Several economists have pointed out to reasons that make political control of education inefficient. In fact, the poor performance of schools in America had been largely linked to the public control of education. Economists who support this notion believe that political force, instead of forces of competition, drives production; otherwise, producers and consumers will end up spending more time in catering to the political needs, instead of focusing on the satisfaction of consumers. Inefficiency creeps into the system as producers become complacent under the protection of the government and consumers fail to obtain better quality of service. Public schools did not have to compete with their rivals, which had increased their social costs. The public had no choice, but to send their children to local national schools. This rendered the whole system ineffective (Gwartney 159-173).
Friedman has been one of the earliest economists who had suggested the chief rationales that lay behind government intervention in the field of education, namely effects of the neighborhood and concerns of parents. The government had to make these two arguments in order to nationalize the system of education. However, according to the views of Friedman, the system of education could be improved without nationalization and had introduced the concept of education vouchers in schooling. ...Download file to see next pagesRead More
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