Public School Funding

Today's Miami Herald and Sun Sentinel have two interesting and unintentionally related stories. The Herald reports that the state budget is being pared to cover a shortfall. Each agency is being asked to accept a 4% cutback. The Sun Sentinel reports that South Florida's population is declining, with Broward's school enrollment down 6% since 2005. But the real question here is should not there be a natural reduction in the education budget to reflect the decrease in the number of students being educated? If a hot dog stand employs ten people and its sales decrease 6% per year, is it not normal to reduce the work force accordingly? But the debate over school funding will never be framed in economic terms. The focus of those groups opposing the reductions is always moral: the reductions are not due to a natural reduction in demand for the services provided but to the greed and ruthless cold heartedness of those legislators proposing the change. So keep an eye on this debate as it unfolds and ask yourself: why is it natural for a private business to adjust its budgets to reflects a change in consumer preferences but not so when government tries to accomplish the same?