A Good Investment - The Updated Productivity of Public Charter Schools in Eight U.S. Cities

Oct 15, 2026

Report examining the cost-effectiveness and return-on-investment of public charter schools versus traditional public schools in eight major U.S. cities. Uses city-level Achievement data (NAEP math and reading) normalized by per-pupil revenue to compare productivity generated per $1,000. Extends analysis with economic benefit calculations based on expected outcomes from spending K-12 years in each sector, producing hybrid and city-level ROI estimates and cross-city averages.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages31

Reading Time1 h 18 min

AccessFree to download

Executive Summary

Research approach and definitions

City-level productivity and spending comparison

ROI estimation methods and outcomes

Cross-city and student-weighted averages

TRADITIONAL PUBLIC SCHOOLS PUBLIC CHARTER SCHOOLS AGood Investment: The Updated Productivity of Public Charter Schools in Eight U.S. Cities Corey A. DeAngelis Patrick J. Wolf Larry D. Maloney Jay F. May April 2019 A Good Investment: The Updated Productivity of Public Charter Schools in Eight U.S. Cities Corey A. DeAngelis Patrick J. Wolf Larry D. Maloney Jay F. May April 2019 School Choice Demonstration Project Department of Education Reform University of Arkansas 201 Graduate Education Building Fayetteville, AR 72701 479-575-5475 [http://www. uaed reform. org/a-good-investment-public-charter-schools-in-8-us-cities/](http://www. uaed reform. org/a-good-investment-public-charter-schools-in-8-us-cities/) The University of Arkansas was founded in 1871 as the flagship institution of higher education for the state of Arkansas. Established asa land grant university, its mandate was threefold: to teach students, conduct research, and perform service and outreach. The College of Education and Health Professions established the Department of Education Reform in 2005. The department’s mission is to advance education and economic development by focusing on the improvement of academic achievement in elementary and secondary schools. It conducts research and demonstration projects in five primary areas of reform: teacher quality, leadership, policy, accountability, and school choice. The School Choice Demonstration Project (SCDP), based within the Department of Education Reform, is an education research center devoted to the non-partisan study of the effects of school choice policy and is staffed by leading school choice researchers and scholars. Led by Dr. Patrick J. Wolf, Distinguished Professor of Education Reform and Endowed 21st Century Chair in School Choice, SCDP’s national team of researchers, institutional research partners and staff are devoted to the rigorous evaluation of school choice programs and other school improvement efforts across the country. The SCDP is committed to raising and advancing the public’s understanding of the strengths and limitations of school choice policies and programs by conducting comprehensive research on what happens to students, families, schools and communities when more parents are allowed to choose their child’s school. A Good Investment: the Updated productivity of public charter schools in eight U.s. cities Executive Summary In 2015-16, the United states spent over $660 billion1 on its public education system in hopes of providing children with greater opportunities to excel academically and to improve their life trajectories. While public education dollars have risen at a relatively fast pace historically, future challenges, including underfunded pension liabilities, suggest policymakers should economize wherever possible.2 meanwhile, the number of public charter schools has increased exponentially. from 1991 to 2018, charter school legislation passed in 44 states and the nation’s capital, and student enrollment in charters increased to around 3.2 million.3 since educational resources are limited, we examine which types of schooling offer society the biggest “bang for the buck.” both costeffectiveness and return-on-investment (roI) analyses compare the productivity of different organizations providing a similar service – in this case, public education. cost-effectiveness is “the efficacy of a program in achieving given intervention outcomes in relation to the program costs.”4 return-on-investment (roI) is: A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. ROI measures the amount of return on an investment relative to the investment’s cost. To calculate ROI, the benefit (or return) of an investment is divided by the cost of the investment, and the result is expressed as a percentage or a ratio.5 We examine the differences in cost-effectiveness an

FAQs

What core comparison does the report make between charter and traditional public schools?

It compares both cost-effectiveness (learning points generated per dollar) and return-on-investment (economic payoff expected from education investments).

How is cost-effectiveness calculated in each city?

Average national NAEP math and reading scores for each city are divided by that city’s per-pupil revenue, yielding points generated per $1,000 committed to each school sector.

How does the report estimate return-on-investment (ROI)?

It uses expected economic benefits associated with spending 13 years (K-12) in each sector, and also provides a hybrid ROI estimate based on 6.5 years in charters and 6.5 years in traditional public schools, linking achievement to lifetime earnings.

Oct 15, 2026

Uploaded by Quinn Holloway