Citizen preference and public education in Australia: an analysis of interstate differences

Government spending in public education varies considerably among the different Australian states. These expenditures may range from a low of $3, 000 in Queensland to a high of over $4,000 in Victoria. An analysis of whether this is due to variances in efficiency in providing services, in the influence of special-interest groups or in citizen preferences, is carried out. Through a technique that obtains private demand functions for public goods via surveys, the researchers show that what Austalian states spend for education corresponds closely with the amount asked for by the typical voter.