The Economic Case for Investing in Education
This report explores the economic impacts, as well as the wider social and fiscal impacts, of increased and reduced spending on Ontario’s public education.
- Each dollar of public education spending generates $1.30 in total economic benefits to Ontario. At the same time, the inverse holds true for each dollar taken from public education.
- Public education can generate social benefits, such as a healthier population, a higher standard of living, and a reduction in crime. That lessens demand for Ontario’s social assistance, public health care, and criminal justice services.
- Each additional high school graduate saves the Ontario government (on average) $2,767 each year on social assistance, health care, and criminal justice. While, each additional high school non-completer costs the province $3,128 each year.
Table of Contents
Section 2—The economic impacts of public education investments
- Economic impact methodology
- Economic impact of public education
Section 3—The social benefits of public education
- Public education investment and student achievement
- Measuring the social benefits of public education
- Methodological limitations
- The impact of public education on provincial social assistance spending
- The impact of public education on health care spending
- The impact of public education on criminal justice spending
- The fiscal costs of a reduction in school achievement
Appendix A—Coefficient estimates