Top PDF Long-Run Trends in School Spending in England: IFS Report R115

Long-Run Trends in School Spending in England: IFS Report R115

Long-Run Trends in School Spending in England: IFS Report R115

Dedicated Schools Grant (DSG). This grant was ring-fenced. Local authorities had to pass the full amount on to schools (other than the amount held back for central LA school spending). However, in the short term, the introduction of the DSG was not a substantial restriction on LAs as the level of Dedicated Schools Grant in 2006 was determined on the basis of past spending levels rather than funding levels. In addition to limiting the short-term impact of the reform, this distinction also made the reform relatively generous. Local authorities that spent more than their SSA amounts were now compensated in the form of the grant. This also meant that it was relatively unattractive for LAs to further top up DSG allocations. Indeed, almost no LA topped up its school budget in 2013–14 (Sibieta, 2015a). Since 2006, the level of the DSG has been determined by central government. However, there was a break from the formula-based approach used to calculate the Education SSA. Instead, funding was calculated using the so-called ‘spend- plus’ methodology (see Chowdry, Muriel and Sibieta (2008) for more details), which was also introduced in response to the so-called school funding crisis of 2003. Under this approach, the level of the DSG per pupil for each LA was simply calculated as a flat-rate increase on what LAs received the previous year (i.e. last year’s DSG per pupil plus x %), with some small additional funding streams on top of this. This meant that the DSG per pupil for each LA failed to change in response to LAs’ changing characteristics from year to year. This ‘spend-plus’ methodology has been in place in one form or other ever since. As a result, LAs’ funding levels seem likely to have become increasingly divorced from their characteristics. ‘By how much?’ is an empirical question, which we address later in the report. The changes and reforms to the school funding system between 1980 and 2010 had some important, and long-lasting, effects. First, the role of LAs was reduced, with greater devolution of powers to individual schools and a greater role for central government in determining the funding and spending levels within LAs. Second, school funding policy became increasingly focused on delivering stability in funding levels for individual schools and LAs. This had the advantage of giving schools and LAs predictability, but had the adverse consequence that the funding levels of individual schools and LAs are likely to have become increasingly divorced from their changing characteristics and needs (becoming increasingly based on what they received the previous year). Third, the system also became much more complex, with a raft of specific grants and historical factors.
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2019 annual report on education spending in England

2019 annual report on education spending in England

The Labour party put the cost of this package at £5.3 billion in 2021–22 (which is equivalent to £5.5 billion in today’s prices). However, IFS analysis at the time noted that this figure was highly uncertain, and was unlikely to reflect the true long-run cost of the party’s childcare package (Cattan and Farquharson, 2017). The 2020–21 figure excluded the cost of offering free or subsidised care to 1-year-olds and of extending maternity pay to 12 months. The cost of policy commitments such as ‘phasing in subsidised provision on top of free-hour entitlements’ will depend a lot on the actual programme put in place: how many hours it subsidises, at what rate of subsidy, who is eligible for the subsidies, and how many hours they choose to take up at the new, lower price. In addition, the Labour party promised higher hourly funding rates to ‘transition to a qualified, graduate-led workforce’. Ensuring that early education places are of high quality is essential if they are to support children’s development (though recent research is divided on whether a graduate-led workforce is necessary to achieve this; see footnote 20 for details). But without knowing the specific changes to the hourly funding rate that the party proposed, it is difficult to incorporate this into an independent costing of the childcare package.
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The short- and long-run impact of the national funding formula for schools in England: IFS Briefing Note BN195

The short- and long-run impact of the national funding formula for schools in England: IFS Briefing Note BN195

Turning now to examine the impact by schools’ levels of deprivation, Figures 7 and 8 show the impact of the NFF on funding by decile of the proportion of the student body who are eligible for free school meals (FSM), the most widely used measure of deprivation at school level. School spending has been increasingly focused on pupils from disadvantaged backgrounds since the mid 1990s and, as pointed out in Section 3, the introduction of the NFF was designed to largely preserve the existing level of total funding targeted at disadvantaged pupils. However, Figures 7 and 8 show that this is not quite the case. In primary schools, funding per pupil in the most deprived decile is expected to grow by only 0.3% in cash terms between 2017–18 and 2019–20 as a result of the NFF (compared with 0.8% on average); in secondary schools, spending on the most deprived decile is set to fall by 0.2% (compared with average growth of 0.7%). The schools that benefit most from the introduction of the NFF are those with middling proportions of students from
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Short-run and long-run determinants of the price of gold

Short-run and long-run determinants of the price of gold

A recent OECD report (Jarret, 2005) gives five reasons for expecting the US current account deficit to continue to worsen, which will cause the dollar to weaken. First, imports are nearly half again as large as exports. Therefore the dollar value of the balance will grow unless export growth exceeds import growth by the same fraction. Second, United States growth in imports will exceed its growth of exports if its economy continues to expand faster than its trading partners. Third, the investment income balance is likely to deteriorate over time in view of the spread of returns between those earned by US residents on their investments and the average yield on foreign investments in the United States. Fourth, the comparatively slow speed of ageing in the United States is expected to have a fairly sharp negative effect on the current account over the next couple of decades. Finally, most policies designed to achieve a substantial improvement in the balance entail second-round effects that tend to offset the initial helpful shock. For example, dollar depreciation raises costs and prices, which decreases competitiveness and eats away at the improvement in the trade balance.
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RUHR. Long-run Trends or Short-run Fluctuations What Establishes the Correlation between Oil and Food Prices? ECONOMIC PAPERS #357

RUHR. Long-run Trends or Short-run Fluctuations What Establishes the Correlation between Oil and Food Prices? ECONOMIC PAPERS #357

In this paper we use the frequency domain Granger causality test of Breitung/Candelon (2006) to analyse short and long-run causality between energy prices and prices of food commodities. We fi nd that the oil price Granger causes all the considered food prices. However, when controlling for business cycle fl uctuations this link exists especially at low frequencies. Thus, short-run phenomena like herd behaviour and speculation do not seem to have a considerable eff ect on the studied food prices. The relation between oil and food prices is rather established by long-term developments. A possible explanation for this could be the production of biofuel.
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International risk sharing in the short run and in the long run

International risk sharing in the short run and in the long run

The results for transitory shocks tie in with recent empirical research by Kraay, Loayza, Serven and Ventura (2000) that suggests that the inter- national component of most countries’ portfolios is heavily biased towards loans and bonds. On the theoretical side, Baxter and Crucini (1995) have shown that the full risk sharing allocations that ensue as equilibria in mod- els with complete markets can be approximated by models that feature only non-state contingent assets. This result holds as long as shocks are not too persistent. Our results highlight the empirical relevance of the Baxter and Crucini study: even though individual countries’ international portfolios show a huge home bias, they seem su¢ciently diversi…ed to achieve almost full insurance against transitory output risks. This insurance seems to be achieved largely with bonds and international credit rather than equity or other state contingent assets.
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Money and Long run Growth

Money and Long run Growth

As the right-most diagram in the second line shows, there is an almost one- to-one relationship between the in‡ation rate and the rate of money growth. So, it is appropriate to say that the long-run relationship between the growth and the in‡ation rate is very similar to that between output growth and money growth, which is shown in the top left diagram. This hump-shaped relationship is qualitatively consistent with the general conclusion in recent empirical reports, such as Ghosh and Phillips (1998) and the studies on industrialized countries by Kremer, Bick and Nautz (2009). In addition, the long-run relationship between investment and in‡ation should also be similar to what is presented in the top right diagram, whose longitudinal coordinate is labelled by “Investment”. This negative correlation is consistent with the …nding by Barro (1995).
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The determinants of long run inequality

The determinants of long run inequality

The determinants of long-run inequality Andrea, Canidio Central European University... ho sc to Go..[r]

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Lucas Paradox in The Long Run

Lucas Paradox in The Long Run

Bearing an overlapping relationship with political risk and institutions, sovereign risk exclusively embraces credit risk, the probability that a sovereign will default on servicing its debt, as well as the risk of expropriation and repudiation. It also refers to the policies by which a government can discourage domestic residents in fulfilling their obligations to foreign contracts. In his recent theoretical paper Wright (2006) argues that due to default risk only smaller levels of capital flows can be supported in equilibrium. By means of the example of colonial India which was exposed to the same rules as imperial Great Britain, Lucas (1990) argued that sovereign risk could not solve his puzzle. Conversely, recalling several rebellions in India, Reinhart and Rogoff (2004) maintained that sovereign risk might well account for the paradox: “As long as the odds of non/ repayment are as high as 65 percent for some low/income countries, credit risk seems like a far more compelling reason for the paucity of rich/poor capital flows.”
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Tackling the school run

Tackling the school run

Whilst this research arose as part of a package of measures to address climate change, the scope for the work did not require the identification or measurement of reduction in car use/distance driven, or air quality levels around case study schools. As such, the extent to which the efforts made by schools to tackle the school run are impacting on climate change/pollution levels cannot be established from this research. Further, the climate change agenda was not credited in the research as driving schools’ delivery of behaviour and infrastructure change programmes. However, the research does suggest that schools’ efforts to tackle the school run should indeed be contributing to the Government’s commitment to address climate change, as well as wider health and well-being agendas, and transport objectives. The findings and recommendations of the research do not in themselves provide a single solution or policy outline for tackling the school run, rather they will be used to inform future discussions on the possible options to reduce the impact of the school run. The evidence gathered will be used to develop an integrated package of policies on tackling the school run, with the aim of reducing the proportion of journeys to school made by car and increasing the role of active travel,
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Spending Trends among Youth in Malaysia

Spending Trends among Youth in Malaysia

This research will reveal how Malaysian teens and young adults proportionate their income to handle their daily expenses. The reason that this research is done is to better understand the purchasing power of these subset of society in hopes that it can benefit in law and policy making as well as insight to the culture and trends of spending among teens and young adults today. There has been statement made by teens and young adults that their source of income is not sufficient to sustain them over the constant increment of prices in goods and services in this country. Therefore this research is done to determine where they spend their money as to better understand the reason why they are having financial shortages. Based on the preliminary hypotheses, this study can determine that there are four areas that can be potentials research fields. These four areas will hopefully reveal significant relationship between the insufficient source of income and the spending pattern. 2.0 Literature Review
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TIPS for the Long Run?

TIPS for the Long Run?

To Robert Merton, the Nobel economist, Treasury Inflation- Protected Securities, or TIPS, have long seemed like the right foundation for any defined contribution account whose goal, at retirement, is to produce safe, adequate, predictable post- employment income for the next 25 years or so.

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Explaining trends in UK household spending

Explaining trends in UK household spending

under special circumstances we can expect this index to be potentially different for every household in our sample depending on their demographics and reference utility. We discussed in section 2 how the RPI could suffer from, for example, substitution bias compared to a true cost-of-living index, but, in addition, one RPI Þgure is constructed for everyone based on average spending patterns, which may be far removed from the actual spending patterns of any one individual (although with full QUAIDS estimation, price indices a h (p t ) and b h (p t ) are constructed for each household based on the RPI price sub-indices within each group of goods, the sub-indices themselves are constructed from average spending data, and so suffer from the same problem). Thus we can expect the total deviation of the RPI from actual cost-of-living to differ across different households. Obviously we cannot identify a separate measure for each household — we could use the entire sample and calculate some “average” bias or conduct the analysis separately for smaller, more homogenous groups (which automatically allows for some variation in covariate parameters according to house- hold type). In this analysis we restrict our sample to households where the head and spouse (where present) are of working age, and the head is in full-time employment (a group similar to that of Costa and Hamilton) to illustrate the variation of the bias estimate with different speciÞcations.
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ACADEMIC R&D SPENDING TRENDS

ACADEMIC R&D SPENDING TRENDS

Compared with the life sciences, the physical sciences of astronomy, chemistry, and physics enjoyed a greater increase in outlays in 2009. The boost was a hefty 9.0% to $4.3 billion in 2009, for a 7.8% share of the total. However, physics contributed the lion’s share of that growth. Chemistry spending went up 6.6% to $1.6 billion. Still, chemistry’s hike was higher than the 5.6% average annual increase between 1999 and 2009, and gave chemistry a 2.9% share of the total R&D budget.

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Instrumental Variables in the Long Run

Instrumental Variables in the Long Run

We use our new results to estimate the long-run e ff ect of institutions on economic performance. We choose this application for several reasons. First, the estimation of the e ff ect of institutions on economic development by Acemoglu et al. (2001) is likely the most prominent paper using historical instruments for contemporary endogenous regressors and many important papers in the institutions literature followed suit (e.g., Easterly and Levine, 2003; Rodrik et al., 2004; Acemoglu and Johnson, 2005). Moreover, unlike many papers using this empirical technique, Acemoglu et al. (2001) provide an explicit set of equations for interpreting their results and a discussion about the role of past values of institutions. Our framework is consistent with their equations and discussion, making our new results immediately applicable in this context. Finally, given the prominence of the institutions literature, much e ff ort has gone into collecting measures of institutional characteristics at different points in time. These data are essential in both steps of our empirical application.
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Long and Short-run Analysis of Government Rural Infrastructural Spending on Cereals Enterprise income in Benue State Nigeria:  1990-2012

Long and Short-run Analysis of Government Rural Infrastructural Spending on Cereals Enterprise income in Benue State Nigeria: 1990-2012

As a result of this inadequacy of empirical studies on analysis of government Rural Infrastructural spending on income of some selected cereal crops in Benue state Nigeria, makes this study justifiable to be carried out, given the essential nature of government rural infrastructure spending on the overall development of agriculture, particularly in Benue state Nigeria which is the food basket of the nation. From the foregoing there is a need to undertake a study on the effects generated by rural government spending which is transmitted throughout Benue state which will validate the effect of government rural infrastructural spending on income of selected cereal crops as the backbone of the Benue rural economy. This is under-scored by the fact that, rural infrastructures, apart from serving as a direct input, can also be an intermediate input in the production process which in return fosters agricultural growth. This study was therefore designed to assess the effects of government rural infrastructural spending on cereals enterprise income in Benue state Nigeria.
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Spending on Transport. Infrastructure Trends, Policies, Data

Spending on Transport. Infrastructure Trends, Policies, Data

An investment level of 1% per GDP became a de facto political benchmark in Western European countries in the 1980s, though with no theoretical basis behind it. The investment needs for transport infrastructure depend on a number of factors, such as the quality and age of the existing infrastructure, geography of the country and transport-intensity of the country’s productive sector, among other things. The fact that the share of GDP dedicated to transport infrastructure has tended to remain constant in many countries suggests that investment levels may be affected by factors other than real investment needs. Level of transport spending may be guided by historical budget levels, institutional budget allocation procedures or budgetary constraints taking into account also needs in the other sectors of the economy (e.g. education, health care). The impact of government policy can also be identified, as for example in Japan and in the data for Australasia. Here, the share of infrastructure investment in GDP grew 50% partly as a result of the last five-year investment plan in Australia. Australia added 10% of route-kilometres of railway track mainly to support the development of their mining industry in 2009–2012. New Zealand has invested in state highway network, rebuilding the land transport system in Christchurch and the surrounding Canterbury region following major earthquakes.
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Public Healthcare Spending In Haryana: Trends And Growth

Public Healthcare Spending In Haryana: Trends And Growth

and Nath, Amar H. K. (2012) provides an estimation of the level of public spending on health in India. The objective of this note was indicated the relative continent of the Centre and the states and arrived at the conclusion that the method of accounting grants for health provided by central to the states as part of central expenditure and excluded them from states‘ expenditure. There was a significant rise in per capita health expenditure from 263 to 486. Singh D. (2012) found that state need to concentrate on social sector allocation for the improvement in health outcomes. Singh D. (2014) outlined that majority of the spending(more than 85 percent) which benefitted to health and education sector comes under this sectorIt was suggested from the study that there should be proportional rise in spending by both centre and states. Centre should be more serious in context of their role in bringing about equity in health services. Centre should be worried the low spending on health by the states.
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Voting Patterns, Party Spending and Space in England and Wales

Voting Patterns, Party Spending and Space in England and Wales

When these three figures are examined together several important points can be made. First, the Liberal Democrats appear to be more active in parliamentary constituencies that are located in the South West of England (traditional heartland) and to a much lesser extent in the East Midlands. The LISA map for the Liberal Democrats appears to be more clearly defined than for the other two (major) political parties and such positive spatial autocorrelation on party spending is evidence of knowledge of spatial dependence of voting patterns by this political party and supports the idea that the Liberal Democrats has a clearly defined local perspective. Second, it appears that the South West of England is predominantly a two party fight, with both the Liberal Democrats and the Conservatives actively contesting seats in this region. By contrast, the Labour party is spending particularly low levels across this entire region. Third, Conservative party spending figures suggest that local Conservative party campaigning is particularly intense in the shire, rural and semi-rural parliamentary constituencies. Dark blue (low-low) areas are confined to relatively urban parliamentary constituencies for Conservative party spending patterns. Fourth, the Conservative party spends relatively little in the urban areas of South Wales, undoubtedly a consequence of Labour’s traditional strength in these areas. Fifth, Labour party spending appears to be focused in London and along the M62
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Intra-and International Risk-Sharing in the Short Run and the Long Run

Intra-and International Risk-Sharing in the Short Run and the Long Run

The profile of risk sharing at various time horizons allows us to draw a more precise picture of how countries or regions achieve risk sharing while maintaining the simplicity and elegance of the ASY decomposition. In par- ticular, we can now study how permanent and transitory shocks get insured. Before we do so in the next sub-section, we discuss one important presump- tion of the ASY-approach and relate our first results to the earlier literature. A novelty of our paper is that we use a fully-fledged dynamic economet- ric specification to study the time-profile of risk sharing. The results from the dynamic specification so far are qualitatively consistent with those we obtained from the regression-based specifications and that were reported in table 1. At intermediate horizons, they are also in line with earlier results by other researchers. Using the ‘differencing cum regression’ method, SY (1998) find that the unsmoothed component at the three-years horizon is somewhat larger (roughly 75 percent) than at the 1-year horizon (roughly 60 percent). In a similar way, Canova and Ravn (1996) report that lower frequency fluctuations in income seem less insured than higher frequency fluctuations in international data. Our results are in line with these findings: the contribution of the intertemporal channel is a lot lower in the long-run but the message from the dynamic profiles is also that it decreases very slowly. At business cycle frequencies, and actually far beyond, the ex post channel generally continues to play an important role, indicating that shocks of remarkable degrees of persistence can be smoothed ex post.
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