The most satisfying economic explanation for why more spending fails to raise achievement is the near-total absence of incentives: teachers' and principals' salaries and careers are virtually independent of student performance—pay rises with experience and graduate degrees, neither of which much affects achievement—so additional money tends to be spent on other interests (e.g., higher salaries) rather than the most productive uses.

causalpending

Speaker

Eric Hanushek

Evidence Quote

your career or your salary as a teacher or as a principal is virtually independent of the performance of students

Source

Eric Hanushek on Education and School Finance 07/14/2008EconTalk
Created: 6/17/2026, 10:14:22 AM

My Notes

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