School policies that cause a large demand shift between public and private schooling may cause some private schools to enter or exit the market. We study how the policy effects differ under a fixed versus changing market structure in the context of a public school funding reform in New York City. We find evidence of a reduction in private schools in response to the reform. Using a model of demand for and supply of private schooling, we estimate that 20% of the reform's effect on school enrollments came from increased private school exit and reduced private school entry.
Geographic Coverage: New York City, NY, USA
Time Period: 9/1/2000 – 8/31/2012 (2000-01 through 2011-12 school years)
Universe: Students, teachers, and schools in the New York City K-12 educational system
Data Type: administrative records data; census/enumeration data
