This brief is based on a report reviewing research on the role of money in determining school quality. The research found that schooling resources that cost money are positively associated with student outcomes. In addition to summarizing the report, the brief offers these policy recommendations: Ensure school finance reforms are linked to thoughtful standards and supports for students and teachers, invest more in students who have greater needs, and invest in human resources.
For decades, some politicians and pundits have argued that “money does not make a difference” for school outcomes. While it is certainly possible to spend money poorly, this viewpoint is strongly contradicted by a large body of evidence from rigorous empirical research. This document presents a brief explanation of the goal of school finance reforms, followed by summaries of the main bodies of evidence that illustrate how equitable and adequate school funding improves student outcomes.
