The purpose of the present paper is to measure the effectiveness of a differential add-on grant program, Title I of the Elementary and Secondary Education Act. The evidence presented shows that this kind of grant program does increase local spending by much more than would be expected of a traditional block grant. The point estimate of the…

This study empirically tests the notion that consolidating smaller public school districts will save taxpayers money. Multiple regression analyses are employed to analyze the relationship between district size and per-pupil expenditures in the state of Michigan, focusing on the five most recent school years for which data are available. The…

This paper examines the feasibility of distributing Elementary and Secondary Education Act Title I aid among school districts according to the educational achievement of pupils in each district. The "predicted achievement method" would permit the distribution of aid on the basis of population characteristics in a way that, on average,…