Reports & Analysis
Follow the Money: Education Works Better When Dollars Follow the Child
The Challenge
The education funding debate often centers on how much money schools receive — but the more revealing question may be where that money goes. Some of the highest-spending districts in the country produce the weakest outcomes, while states that shifted toward funding students directly are seeing measurable gains.
What the Evidence Shows
New York City and Chicago show that higher spending alone doesn't guarantee better outcomes, while Louisiana and Florida show what happens when funding follows the student instead of the system.
$36,000
Per-pupil spending in New York City's Department of Education in 2024 — among the highest in the nation. Despite that investment, only 29% of eighth graders were proficient in reading, and most students failed both reading and math exams in 503 of 906 schools studied.
#1
Louisiana's national ranking in reading growth, alongside record-high student achievement. The state's LA GATOR Scholarship Program lets families direct education funds toward private tuition, tutoring, and other tailored services, and its charter enrollment has grown over 9% since 2022.
55 of 77
Statewide academic comparisons in which Florida charter school students outperformed their district peers, per the state's latest Department of Education report. Florida charters serve more than 400,000 students, with 77% earning an A or B under the state's accountability system.
The Real Question
Not whether public education matters — it remains foundational — but whether education dollars should flow to institutions or to the students those institutions are meant to serve.
Bottom Line
Where school choice has expanded — Louisiana and Florida — states are seeing stronger academic outcomes, rising enrollment in alternative options, and improved accountability. Where spending has increased without structural change — New York City and Chicago — outcomes have stagnated or declined. The evidence suggests funding students directly, not just increasing budgets, is what moves the needle.
Source: Ed Pozzuoli and Steve Moore, "Follow the Money: Education Works Better When Dollars Follow the Child," Unleash Prosperity Now, August 2026.