What do charter schools and the subprime mortgage crisis have in common? A lot, or very little, depending on whom you believe.
“Mark Naison, a professor of African American Studies and History at Fordham University, has claimed that the charter school scandals are beginning to resemble the subprime mortgage crisis,” four researchers write in a paper to be published in a forthcoming issue of the University of Richmond Law Review. “With respect to charter schools, Naison asserted that, similar to the subprime mortgage situation, the federal government encouraged the charter school sector to expand with little oversight. As a consequence, Naison explained that charter schools are experiencing abusive practices at a level resembling the subprime mortgage crisis.”
The four researchers go on to explain why Naison’s idea is plausible.
“We fear that charter school advocates may be inadvertently making the same mistakes in their attempts to create more charter schools. If state and federal policymakers are not careful, they could create a charter school bubble in Black, urban communities that could eventually burst.”
The paper was authored by Preston Green, with the University of Connecticut, Bruce Baker, with Rutgers, Joseph Oluwole, with Montclair State University, and Julie Mead, with the University of Wisconsin. So far, the paper has been covered by outlets such as the Washington Post, Salon and Business Insider.
Despite the attention, the biggest nonprofit committed to advancing charter schools isn’t concerned about a bubble. The National Alliance for Public Charter Schools said the bubble concept is “not a serious idea” in a statement to the Washington Examiner.
“The article offers no compelling reasoning or evidence for its claims,” said Nina Rees, the group’s president and CEO. “Moreover, it is offensive to parents who have chosen or are hoping to choose a charter school for their children. It’s more important to understand why parental demand for charter schools is rising. These reasons include: more learning days, innovative classroom teaching, flexibility in building a curriculum, smaller classrooms and better results. We strongly believe that only high-quality charter public schools should be authorized and allowed to operate. However, the notion that too many parents lining up for charters could lead to a path of destruction like the housing market is not a serious idea.”
Since the 1999 to 2000 school year, the net number of charter schools has grown by almost 5,000. Non-charter schools have only grown on net by a little more than 300. In 1999, fewer than one percent of public school students went to charter schools. Today, more than six percent do.
Nationwide, there are more than 6,700 charter schools in 43 states and Washington, D.C. Combined, they serve almost 3 million students. Charter schools are most prominent in New Orleans, where nine in 10 students now attend a charter school. In Detroit and Washington, D.C., roughly half of public school students attend a charter school.
Charter schools are publicly-funded and do not charge tuition. Compared to traditional public schools, charter schools have more independence in their operations and curricula, which is why so many families find charter schools desirable. They are open to all students, but they often don’t have enough space to meet demand. In that case, they use a random lottery system to determine admission.
Jason Russell is a commentary writer for the Washington Examiner.
