The paper studies the optimal education policy of a budget-constrained utilitarian government. Households differ in … information. Households can choose to use private education, but cannot borrow to finance it. The results we obtain are striking …. The optimal education policy is elitist: it increases the spread between the education achievement of the bright and the …

particular when comparing local and national funding of education, which correspond to special cases of segregation and …

is affected by the human capital of her colleagues. This is the case for goods such as health, education, legal services …

This paper investigates whether individual decisions lead to equality of opportunity in education, defined in the …

emerge. First, minor differences in education technologies, preferences, or wealth, can lead to a high degree of … inequality in education and income more persistent across generations. Whether the same is true of inequality in total wealth … richer communities; thus average academic performance and income growth both fall. Yet it may still be possible for education …