Why do Governments Intervene in Education? NZ

Rationales for Intervention Notre Reine de Nkolso, Yaounde, Cameroon

Access/equity concerns: people with varying financial resources and needs have access to education Quality concerns: appropriate quality standards are attained Agency concerns:ensure that parents act in best interests of their children Social/economic concerns:public resources are used to support realization of a well-educated community 2.1 Objectives for the Role of Government in Education

Government Policy Instruments Governments have a range of policy instruments at their disposal to help them meet their objectives. Generally speaking, there are four broad instruments for intervening in education sector: –funding (e.g., subsidies, vouchers, tax subsidies, etc); –provision/ownership (e.g., network of public schools); –regulation (e.g., zoning, mandatory schooling age, safety, etc); and –information provision (e.g., career information, etc).

Funding and Provision: State and Private Sector FinancingProvision Private Private Schools Fees Home Schooling Donations Public Contract Schools Traditional Public Vouchers/Scholarships Schools Subsidies Student Loans Tax Subsidies Private Public

Mechanism Private Sector Involvement Delivery of education byPrivate Schools private providers Private Tuition Private operation ofPublic Schools operated by public schoolsprivate firms Private sector supply of Supply of textbooks, Canteen- inputs into education processServices, Build & Operate Buildings Education vouchersGovernment or foundations and scholarshipsprovide funding 1.3 Summary of Private Participation in Education

The State and Private Sector: Changing Roles? Dominant model used by governments is one of public funding, public delivery and public regulation Can current model meet todays challenges? Alternative approach is to shift the balance of instruments away from provision toward funding, information provision and regulation.

Promoting Private Education: Policy Innovations Developed and developing countries are making use of a range of public-private partnerships in the education sector These innovative policies include: –vouchers; –contract schools; –student loans; –provision of information; and –use of the private sector, rather than government, as regulator.

Demand Side Financing: Netherlands Nationwide school choice scheme - free choice of public or independent school. No zoning - students can attend any school. Liberal supply side. Non profits and parents can set up schools if minimum requirements are met. Diverse supply of schools. 70% of primary and secondary students attend independent schools receiving government funds. Topping up of fees not allowed. Schools with students from lower income areas receive more government money.

Policy Innovations: Student Loans Key part of any strategy to increase share of private contribution to higher education. Many examples of student loans being used in developed and developing countries - New Zealand, Australia, Canada, UK, Netherlands, Hungary, etc. Bank type schemes vs income contingent. Mixed record for student loan scheme repayments across countries. Design and context critical to success.

Private Sector Regulation: Private Accreditation Accreditation - non-governmental, peer evaluation of educational institutions and programmes. Educational associations oversee accreditation of programmes Two types of educational accreditation - "institutional" and "specialized" or "programmatic."