A cost efficiency analysis of school districts: is larger more efficient? Available to Purchase

Can school districts become too large whereby their size exceeds their point of efficiency? To investigate this question, all K-12 school districts in New Jersey were divided into three groups based on student body size. In a comparison of six average cost measures, larger districts were found to be more efficient on only one of the six measures. A more optimum size for school districts appeared to be in moderate sized districts. The theoretical grounds for this investigation regarded the suggested effects of vertical and horizontal decentralization.