U.S. Investment in Public Education at Risk Amid State Budget Cuts and Voucher Programs

A new report from the Economic Policy Institute warns that the United States is severely underinvesting in public K-12 education, with state budget cuts, the rise of voucher programs, and Republican-led attacks on public education threatening to erode the quality of education for millions of students. The report finds that states with a Republican trifecta spend significantly less on education, with a $141 per pupil gap compared to states without a Republican trifecta. Additionally, the funding gap is even more pronounced in high-poverty neighborhoods, with Republican trifecta states spending $244 less per pupil.

Key Takeaways:

• The Economic Policy Institute reports that states with a Republican trifecta spend $141 less per pupil on average than states without a Republican trifecta.
• The funding gap is even higher in high-poverty neighborhoods, with Republican trifecta states spending $244 less per pupil.
• Research has shown that additional money in public schools directly increases the test scores of public school students, with greater effects for students in high-poverty districts.
• Between 2011 and 2021, many states reduced their education budgets, with states controlled by Republican governors and legislatures experiencing the largest cuts.
• As a result, the United States ranks extremely low among its peer countries in educational spending, with 22 countries providing more investments for public education.
• Disparities in school spending are significant, with spending per student in high-poverty school districts $4,000 below what was needed to provide a quality education in 2019, while spending in low-poverty districts was $5,700 above that threshold.
• The Trump administration's efforts to abolish the Department of Education and undermine federal support for public schools threaten to exacerbate the problem.
• The increasing use of universal voucher policies at the state level threatens to divert more funds away from public school systems and deteriorate the quality of education for students remaining in public schools.
• Politicians are urged to take urgent action to fully fund public education.

Statistics:

• The United States ranks 22nd among its peer countries in educational spending, with a per-pupil spending gap of 28% compared to the median country in the Organization for Economic Cooperation and Development (OECD).
• Between 2011 and 2021, 25 states reduced their education budgets, while 10 states increased their budgets.
• 50% of states with Republican trifectas experienced budget cuts, compared to 32% of states without a Republican trifecta.
• The funding gap between high- and low-poverty school districts is $5,750 in total, with high-poverty districts receiving $1,193 less per pupil in 2019.

Sources:

• Economic Policy Institute, "U.S. Investment in Public Education Is at Risk: Vouchers, State Budget Austerity, and Federal Attacks on the Department of Education Threaten Children's Futures" (August 2022)
• Economic Policy Institute, "Press Release: New Report Details How U.S. Investment in Public Education Is at Risk" (August 2022)