The roots of the American doctrine of separation between church and state are examined in this historical analysis. Factors for the exclusion of private schools from public funding include: (1) anti-Catholic sentiment; (2) reactions against rapid Irish immigration; (3) Catholic distrust of private schools; and (4) the view of publicly funded religious schools as a threat to individual religious expression. The paper presents an argument that the move away from spiritual values in a quest for neutrality has resulted in a constitutional leveling of all religions and a secularized school system. The Canadian educational system, which is perceived by Americans as more protective of religious expression, is more effective in the prevention of social problems than is the American system. (35 references) (LMI)