What Ohio’s school voucher system may have done to the cost of private education
I attended Catholic schools for most of my K–12 years.
I went to a public kindergarten. From first grade through eighth grade, I attended a parish school on the east side of Cincinnati.
I completed my high school education at a Catholic school that was also located on the east side of Cincinnati. (And, as we will shortly discuss, still is.)
I’m not here to apologize for attending Catholic schools. Nor do I have any horror stories to relate. My educational experience was almost uniformly pleasant. My teachers were dedicated, responsible adults. As for my peers—well, high school was high school—but most of them were pretty nice people, on balance.
My public school options were not horrible by the standards of the 1970s and 1980s. But I’m glad my parents spent the extra money to send me to Catholic schools.
But how much money?
When I graduated from high school in 1986, my parents were spending about $1,000 per year on my tuition. That’s about $3,100 in present-day dollars.
Tuition at the high school I attended now costs more than five times that inflation-adjusted amount. Tuition at my former high school costs about $15,000 per year. Additional fees bring the total to nearly $17,000 per year.
What the heck happened?
Back in the 1980s, tuition-based Catholic schools operated under market constraints. All private schools did, for that matter. They could charge only what families could feasibly afford. Therefore, they had to keep their operating costs in line.
In the mid-1980s, my high school had two full-time administrators. There was one full-time guidance counselor.
And that was for a student body of about two thousand kids.
The high school I attended now has fewer than half that many students. According to the internet, about 700 students now attend my alma mater.
But, as you might have guessed, my old high school now has more administrators. (In fact, one of my former classmates is the Director of Admissions there.)
I’ve also noticed that the school has gone on a building spree in recent years. When I was a student there in the 1980s, we all used more or less the same facilities that my mother and her classmates had used in the 1960s. (My mother was a 1964 graduate of the same school.) Our accommodations were comfortable, but not luxurious. (And when you’re 15, 16, or 17 years old, who really cares about plush surroundings, anyway?)
But now every alumni newsletter from my former high school seems to feature some new building project. I was last inside the school for an alumni activity about a decade ago. I could barely recognize the place.
So…what the heck happened?
Government money is what happened.
Ohio has a program called EdChoice, aka a “voucher system.” In Ohio, families can receive up to $8,408 in voucher assistance for private high school tuition.
If half of the students at my alma mater are receiving the full EdChoice stipend, that would mean an annual influx of about $2.9 million. Give that much money to any group of educational administrators, and they’ll spend like drunken sailors on shore leave.
There are two sides to the school voucher debate. The first is that school vouchers siphon money from the public school system. While that issue is well worth considering, an equally serious problem is that school vouchers can artificially inflate costs at private schools. I know—because I had a quite satisfactory educational experience at a private Catholic high school during the mid-1980s for about a fifth of its current, inflation-adjusted cost.
Government money, I should note, is not the only type of external funding that can inflate costs. I’ve noticed a sharp increase in the cost of glasses and eye care over the years. (I’ve worn prescription lenses since 1978.) A few decades ago, insurance companies were not involved in routine eye care to the extent they are today. Now they are, and the costs we all pay have risen concomitantly.
You’ve no doubt had the experience of receiving a $1,600 bill for some routine medical test. Why do these tests cost so much? Because, in most cases, an external insurance provider will ultimately be paying the bill.
Whether that insurance provider is the government or a corporation is immaterial from an inflationary standpoint. Third-party insurance payments tend to weaken the market constraints that would otherwise keep prices in check.
So do school vouchers, it seems.
Meanwhile, public education funding is in a perpetual mess here in the Buckeye State. Many of the local districts do not have regular bus service. Each year, there are rancorous debates over school levies and property taxes, which fund public schools in Ohio.
These are problems that we did not have in the 1980s. Granted, I was not a homeowner paying property taxes in 1986, but I don’t remember my parents complaining about the property taxes they shelled out. (Nowadays, everyone in Ohio grouses about how high their property taxes are.) Nor was there ever a problem providing school buses for both public school kids and parochial school kids.
I reiterate: I am not a foe of Catholic schools. On the contrary, I’m both a fan and a beneficiary of them. But they were a lot more affordable—for both parents and taxpayers—before school vouchers came into the picture.
EdChoice is not a panacea for parents. If a family receives the full $8,408 in EdChoice assistance for tuition to my old high school, that still leaves about $8,600 out of pocket. That’s an inflation-adjusted net cost of nearly three times what my parents paid in the 1980s.
—ET







