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Learning and

However, all of the schools that earned a grade

achieving results. That line of reasoning is

of F in 1999 were deemed to be passing this

fundamentally flawed: Learning and profit

profit are not

year.103 The Florida Department of Education

are not mutually exclusive. In fact, in the case

mutually exclu-

of education, they are inextricably linked.

cited the improvement as good news, but that

sive. They are

The most successful education businesses are

improvement also raises questions about the

and will continue to be those that enable stu-

criteria used to determine school failure and

inextricably

dents to learn the most at the lowest cost.

whether or not there is the political will to

linked.

In virtually every sphere of life, individuals

"fail" a school. In the case of the Florida

rely on competition between businesses to

schools, in order to avoid a grade of F, a

meet consumer demands for products and

school's test scores had to be above the mini-

services. The competitive process ensures

mum requirements on just one of three sub-

that businesses will work to meet consumer

jects. Parents of students in a school that

demands; firms that fail to satisfy customers

squeaks by, failing two of the three subjects,

go out of business. That "creative destruc-

may question whether this system is working

tion" tends to weed out poorly conceived and

or whether they would have preferred to judge

poorly run businesses and cultivates innova-

for themselves whether a particular school

tive industry leaders. We trust that competi-

"failed" and to have the option of selecting

tive process to supply us with the foods we

another school for their child.

eat, the clothes we wear, and the homes we

In a market, parents would decide

live in. It is counterintuitive to abandon

whether or not a school was failing their

those principles when it comes to something

child. As children are placed in schools of

as important as education.

their parents' choice and resources are reallo-

Edupreneurs will have to strike a balance

cated, failing schools will be eliminated--a

between being cost conscious and providing

sure step toward improving educational ser-

high-quality learning experiences. If they cut

vices for all children.

costs to the detriment of quality, they will

Parental Decisions

lose customers. We see the forces of market

selection at work today. Companies that are

successfully educating their customers, like

If the greatest handicap suffered by

Kaplan, Inc., are prospering and expanding

low-achieving students is their par-

their services. Other companies, like

ents' impoverishment, poor educa-

TesseracT, Inc., are struggling to stay afloat.

tion, lax discipline, and scant interest

Although TesseracT's financial difficulties

in education . . . is it really so ridicu-

may be due to the difficulty of competing

lous to worry that these same par-

against a monopolistic school system and

ents might fail to become tough,

not to poor customer service, the competitive

savvy, demanding education con-

process that could wipe out TesseracT is

sumers the instant they obtain the

essential to a healthy industry. That process

right to decide which school gets

their children's tuition money?104

contrasts with the system of government

schools that never "go under" even when they

fail, year after year, to teach children.

Critics of customer-driven education

Although there have been some instances

believe that if educational choices are left up

of charters being revoked when schools per-

to parents, they will make poor decisions and

form poorly, it is unlikely that the political sys-

jeopardize their children's futures. However,

tem would be as efficient as the marketplace.

there is no evidence to support that claim

For example, in Florida, if a school "fails" for

and much evidence to the contrary.

two years straight, students in the failing

Research on school choice experiments

school receive an "opportunity scholarship"

across the country shows that parents are

that enables them to attend different schools.

perfectly capable of selecting good schools

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