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Firms for funding

The effect of Million Dollar Plants on school finances and student achievement

Dados Bibliográficos

ID11080552
AutoresRahul R Gupta (0009-0004-2490-9427, Georgetown University, autor correspondente), Viviana Rodriguez (0000-0003-4829-8101, The University of Texas at San Antonio)
Ano2025
Volume149
Páginas103794
Data de publicação2025-09-01
Peer ReviewedSim
Open AccessSim
TipoARTICLE
PeriódicoJournal of Urban Economics (JOURNAL)
Identificadores do periódicoISSN: 0094-1190 • E-ISSN: 1095-9068
EditoraElsevier BV (PUBLISHER)
DOI10.1016/j.jue.2025.103794
OpenAlexW4412738294
IdiomaEN
Referências citadas29

We study the impact of large firm entry on local public education by comparing school districts in counties that win a Million Dollar Plant (MDP) to runner-up counties. Winning an MDP increases school district revenues by approximately 3%, primarily through higher local property tax collections. While total per pupil revenue rises modestly, we find gains in instructional spending and small improvements in test scores. Effects vary by firm type: manufacturing MDPs are associated with greater capital outlays but limited achievement gains, whereas high-tech MDPs see increased instructional spending and improved proficiency. Districts with MDPs in highly educated industries exhibit larger increases in instructional spending and student outcomes, even when overall revenue gains are similar

Academic achievement · Business · Economics · Exchange rate · Liberian dollar · Mathematics education · Monetary economics · Student achievement · Us dollar · Finance · Innovations in Educational Methods · Local Government Finance and Decentralization · Psychology · School Choice and Performance

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