Competition and curriculum diversity in local schooling markets: theory and evidence

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Abstract
Amongst the factors, which have motivated market-based reforms of state schooling was a desire to increase choice and diversity. It has been claimed, on the basis of conventional economic analysis, that increasing competitive pressures on schools would promote greater curriculum innovation and diversity. We critically assess both the economic rationale and empirical support for this proposition, concentrating largely upon UK experience. Our analysis suggests that market-based reforms can initially create pressures which increase curriculum conformity in local schooling markets. Over time there are likely to be greater incentives to innovate and diversify, but these are greatest for schools who are least able to resource them.