Voucher Regulation Reduces Quality of Private School Options

Corey A. DeAngelis:

If only it were that easy.

My just-released study — co-authored with George Mason University graduate student Blake Hoarty — suggests that higher-quality private schools are less likely to participate in two of the most highly regulated voucher programs in the country, the Milwaukee Parental Choice Program and the Ohio Educational Choice Scholarship Program.

The data suggest that school choice regulations reduce the quality of private schools participating in voucher programs, with quality measured by tuition and customer reviews. Specifically, we find that an increase in tuition of $1000 is associated with a 3 to 4 percent decrease in the likelihood of participation in a voucher program. We also find that a one-point increase (out of five points) in a school’s GreatSchools review score is associated with around a 15 percent decrease in the chance that a school participates in the Milwaukee voucher program.

But this isn’t the first study to find that voucher regulations could inadvertently reduce the quality of options available to families in need. A recent peer-reviewed evaluation I conducted with colleagues at the University of Arkansas also finds that higher-quality private schools are less likely to participate in voucher programs in three other locations: Washington, D.C., Indiana, and Louisiana. And another recent peer-reviewed evaluation I conducted with the Heritage Foundation’s Lindsey Burke finds that voucher program regulation likely leads to less private school specialization.

Why does regulation reduce the quality of private schools that participate in voucher programs?