Recent Private-Public Reforms Needs-based formulas: Targeted schemes or formula funding is the policy answer to the selection problem. Subsidized private schools receive more funding as they enroll more students from disadvantaged backgrounds and less funding for being too selective against such students. Such an enrollment policy, making less elite students more attractive to private schools, may help reduce segregation of students across the public-private checkerboard in school districts. These policies have been put into practice in two different ways in Europe. Some countries have indeed made funding allocations reflect the equity (or inclusiveness) in enrollment. Some other countries provide additional funds on top of regular subsidies contingent on the number of disadvantaged students in a school. Recentralization: Another policy answer is to take away the school’s authority in choosing their own admissions applications. Rather, in the recentralizes system, school districts ask specific school preferences from all applicants and consider those when allocating students to different public and subsidized private schools.
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