Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/272542 
Year of Publication: 
2023
Series/Report no.: 
IZA Discussion Papers No. 15915
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
We study the effects of increased school spending in rural American school districts by leveraging the introduction and subsequent expansion of Wisconsin's Sparsity Aid Program. We find that the program, which provides additional state funding to small and isolated school districts, increased spending in eligible districts by 2% annually and that districts primarily allocated funds to areas with low baseline budget shares. This increased spending has little effect on standardized test scores, but modestly increases college enrollment and completion for students with a low likelihood of attending or completing college.
Subjects: 
school finance
educational attainment
rural schools
JEL: 
H75
I21
I22
R51
Document Type: 
Working Paper

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