Journal Article

Measuring the value of better schools

Abstract: Several researchers have attempted to measure the value of educational quality by examining its impact on wages earned by students later in life. Adopting an alternative approach, the author of this study calculates what people are willing to pay to reside in a community with superior schools. Controlling for neighborhood characteristics and school financial inputs, she finds that a 5 percent increase in the average test scores of an elementary school leads to a 2.1 percent increase in the price of houses in that school's attendance district.

Keywords: Education;

Status: Published in Conference on excellence in education

Bibliographic Information

Provider: Federal Reserve Bank of New York

Part of Series: Economic Policy Review

Publication Date: 1998

Volume: 4

Issue: Mar

Pages: 87-94