Untitled Document

Vouchers...
The future of the education system?

The education system has long been a concern of citizens who perceive a need for improvements. Of the many suggestions on the table, a voucher system is among the more controversial. Can a voucher system be the way out?

Photos by Ng Siu Tung

Primary and secondary schools could be affected by the adoption of a voucher system.

An introduction to voucher systems

By Sally Yip

Economist Milton Friedman introduced voucher systems in 1955 in an academic article titled "On the Role of Government in Education".

He blamed the government for a stifling and poorly performing school system in the U.S.

He then introduced voucher systems to stimulate the development and improvement of schools.

Regarding the government financing of schools, Dr. Friedman borrowed the idea of a free-market economy.

Under his theory, education is a consumer good that can be purchased by means of vouchers.

He said that the conventional way is to finance the educational institutions directly.

But under a voucher system, governments first give vouchers, to which a monetary value is attached, to parents or students, who then give vouchers to the educational institutions they choose.

In short, a voucher system is another governmental system of financing education. The education funding is given to schools through students according to the number of students enrolled.

He believes voucher systems will intensify competiton among schools. In order to survive, schools have to improve themselves to attract students.

Other countries have implemented voucher systems in various forms.

In some foreign cases, vouchers are targeted.

This means that vouchers are not granted to every citizen but restricted to disadvantaged groups, such as the poor.

Examples of places in the U.S. following this kind of voucher scheme are Florida, Alum Rock School District in San Jose, California, and Cleveland, Ohio.

In these places, payments are limited to low-income families.

Besides, the voucher system can be taken into two forms: selective or non-selective.

In Minnesota, a state in the U.S., nearly all schools follow a selective voucher system.

This means that schools can reject the entry of students by claiming that their quota of school places is already full.

There are successful cases of implementing voucher system.

For example, more than 10,700 Milwaukee, Minnesota, students are using tuition vouchers to attend their families’ choice of schools.

Currently voucher systems are practised in the U.S, England, New Zealand, Australia, Canada and some European countries.

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Photos by Ng Siu Tung


Primary and secondary schools could be affected by the adoption of a voucher system.
An introduction to voucher systems By Sally Yip Economist Milton Friedman introduced voucher systems in 1955 in an academic article titled "On the Role of Government in Education". He blamed the government for a stifling and poorly performing school system in the U.S. He then introduced voucher systems to stimulate the development and improvement of schools. Regarding the government financing of schools, Dr. Friedman borrowed the idea of a free-market economy. Under his theory, education is a consumer good that can be purchased by means of vouchers. He said that the conventional way is to finance the educational institutions directly. But under a voucher system, governments first give vouchers, to which a monetary value is attached, to parents or students, who then give vouchers to the educational institutions they choose. In short, a voucher system is another governmental system of financing education. The education funding is given to schools through students according to the number of students enrolled. He believes voucher systems will intensify competiton among schools. In order to survive, schools have to improve themselves to attract students. Other countries have implemented voucher systems in various forms. In some foreign cases, vouchers are targeted. This means that vouchers are not granted to every citizen but restricted to disadvantaged groups, such as the poor. Examples of places in the U.S. following this kind of voucher scheme are Florida, Alum Rock School District in San Jose, California, and Cleveland, Ohio. In these places, payments are limited to low-income families. Besides, the voucher system can be taken into two forms: selective or non-selective. In Minnesota, a state in the U.S., nearly all schools follow a selective voucher system. This means that schools can reject the entry of students by claiming that their quota of school places is already full. There are successful cases of implementing voucher system. For example, more than 10,700 Milwaukee, Minnesota, students are using tuition vouchers to attend their families’ choice of schools. Currently voucher systems are practised in the U.S, England, New Zealand, Australia, Canada and some European countries.