Centre for Educational Research and Innovation (CERI) - Markets in Education

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All OECD countries face the question which governance models are most suitable to handle the increasingly complex and dynamic nature of education systems? Which governance models can provide education effectively and efficiently, contribute to equity, economic growth and innovation, while being responsive to the demands of students and parents?

Many OECD countries governments have been using elements of the market model as part of the answer to these questions. Some countries have started reforms along these lines from the 1980s onwards. There is a growing body of evidence on the impact of these reforms on the outcomes of education systems, but the evidence as of yet is fragmented and often inconclusive. At the same time the policy debate about market mechanism in education is very strong, with opposing parties basing themselves on first principles, if not ideology. Proponents claim that education markets would provide higher quality, more efficiency and more demand sensitivity; while opponents stress the danger of schools with increasingly unequal quality, unequal access to high quality schools and as a consequence segregation.

Given the widespread introduction of market elements in education, the intense ideological debates and the growing body of empirical evidence, a CERI project focussing on markets in education is very timely.


Project Objectives and Organisation

The proposed project is divided into three tracks and will seek:

  • To improve our understanding of what we mean by markets in education, i.e.  to clarify the concept of market in education and create a clear map of what market mechanisms countries have  introduced to date.
  • To assess what the current evidence base is for the claims about the effect of market mechanisms on the outcomes of education systems, by reviewing the existing research on this topic.
  • To contribute to the future evidence-base by engaging in a number of small projects that directly complement or support research in this area while building on the strengths of the OECD and CERI this track would include:
    • One strand on the creation of an indicator on choice for Education at a Glance, to create better comparative data on this issue.
    • A comparative strand where the introduction of market mechanisms in schooling is compared to similar developments in other levels of the education system and other public services to learn lessons from other fields.
    • A strand focussing on the question whether schools and parents are actually engaging in competition and choice after the introduction of market mechanism, to arrive at a much deeper understanding of how these policies affect schooling.
    • A strand on “governing beyond the market”, focusing on the instruments of government that are most effective in the context of market reforms that have for example significantly increased school autonomy reducing the possibilities for direct, top-down steering of what is going on in schools.

Participation and Outputs

Countries are invited to actively participate in this project. The planning of the project is to deliver tracks one and two in 2009 (with drafts available for the Governing Board of November 2009), while the outputs of track three, consisting of several strands will be delivered throughout the project period in close co-ordination with involved countries. Outputs would be a series of to the point, accessible policy-briefs relevant to policy makers. All other materials developed in the project: country information on market mechanisms, review papers, case studies will be made accessible through the OECD website.

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