Document Number: 6048Do Vouchers Lead to Sorting even under Random Private School Selection? Evidence from the Milwaukee Voucher Program - This paper analyzes the impact of voucher design on student sorting, investigating whether there are feasible ways of designing vouchers that can reduce or eliminate student sorting. Milwaukee's voucher program requires private schools to select eligible students randomly and accept vouchers as full payment, prohibiting schools from “topping up,” or charging additional fees for tuition. The author finds that while this prevents sorting by income, it does not prevent sorting by ability. The level of mother’s education is considerably higher among voucher applicants than eligible non-applicants, and voucher applicants are more involved in school activities and possess higher educational expectations for their children, than non-applicant parents. (Rajashri Chakrabarti, National Center for the Study of Privatization in Education, February 2005)...
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