News Release

September 2, 2003

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$5000 School Vouchers Would Give Most Students Access to Quality Private Schools
Average private school tuition per student is less than $3,500, much less than public schools spend

WASHINGTON--For over 20 years, education experts, teachers, and parents have pressed for the introduction of market forces into the American primary and secondary education system, citing the lack of competition and consumer choice as the key reason so many of America's public schools are failing. Critics of school vouchers often respond that offering vouchers as an alternative to public education is unworkable because they do not cover the perceived high costs of a private school education. However, according to a new Cato Institute Policy Analysis, "What Does a Voucher Buy? A Closer Look at the Cost of Public Schools," a $5,000 voucher or tax credit would give students access to most private schools because the average cost of private school tuition is only $3,500.

Author David F. Salisbury, director of the Cato Institute's Center for Educational Freedom, surveyed private schools in six large- and mid-sized American cities: Charleston, New Orleans, Denver, Houston, Philadelphia, and Washington, D.C., places where school choice legislation has been recently implemented or is currently being considered. He found that the majority of private elementary schools charged $5,000 or less per student per year. Although they were not in the majority, in each city there were also private secondary whose annual tuition was less than $5,000.

Interestingly, 45 of 62 private elementary schools in Washington, D.C. charge less per student per year than the District of Columbia Public Schools spends per student. Additionally, lower income cities included in the survey -- New Orleans and Philadelphia -- have more low-cost than high-cost schools; 93 percent of elementary schools in New Orleans and 89 percent of elementary schools in Philadelphia cost less than $5,000 a year.

Existing school choice programs have already provided evidence that increased benefits and options are available to students after choice programs are implemented. Salisbury notes that "in Florida, for example, where students are able to attend private schools under several choice programs, the number of private schools in the state increased as school choice became more predominant."

The study clearly shows that in addition to bringing more educational options to interested parents, a well-crafted voucher or tax credit program would more than meet the costs of the average private school. Salisbury concludes that "a voucher or tax credit of $5,000 or more per student would give families the clout they need as consumers . . . . Even a poor child, armed with a voucher of $5,000 could obtain a quality private education in any of the cities [covered in the survey], and the prices of private schools in these municipalities are representative of private school costs around the country."

"What Does a Voucher Buy? A Closer Look at the Cost of Private Schools"