Tag Archives: consumer good

Market Economy versus Market Society

A recent opinion column from the Lafayette Journal-Gazette caught my eye. Written by Ed Eiler, a former school superintendent, it began

Three recent newsworthy items deserve our attention. The first is a study in the American Educational Research Journal, which concluded rising income inequality in the U.S. is a primary cause of the growing economic segregation of schools. As the gap grows, affluent families are more likely to segregate themselves into enclaves where there are few poor children in the public schools.

The second is a report issued by the Indiana Department of Education that calculated the net increased cost for the state’s education voucher program to be $53.2 million. Some 52 percent of voucher students now have no record of attending a public school.

The final report is one completed by the National Conference of State Legislatures addressing educational reform. The report acknowledges there are no silver bullets and the present efforts at reform have failed. The report recognizes the importance of having all stakeholders be a part of the process of improving our schools.

Why does any of this matter? All of these reports can be tied to the effort to privatize education.

Eiler then references a book by Michael Sandel, who makes an important distinction between markets that deal with material goods, which he finds “valuable and productive” and markets operating  in areas where they do not belong, in our civic lives.

Should educational opportunities be made available based upon the ability to pay? Should we pay children to read books or get good grades? Should people receive health care on the basis of their ability to pay? Should access to politicians and the political system be governed by those who have more money? Should legal representation be affected by one’s financial circumstances? Should you be able to pay someone else to take your place in serving your country? Should citizenship be for sale?

Sandel asserts markets may in fact undermine or crowd out non-market attitudes and values worth caring about and change the character of some goods and social practices. He writes that the most corrosive effect of markets is the loss of our commonality – “we’re all in it together.”

This argument underscores what I have sometimes called a “category mistake.” I’ve previously written that our misguided and unsuccessful drug war is a consequence of placing drug abuse in the category of criminal justice rather than public health. Similarly, too many school reform efforts categorize education as another consumer good, rather than a public necessity.

Of course we all want our children to receive educations that will enable them to compete for jobs and status, just as we all want university graduates to find gainful employment. But the purpose of education goes far beyond those “consumer” goals. Genuine education is not job training; it both enriches the lives of recipients (a market good) and creates good citizens (a social good). As political scientist Benjamin Barber has written, public education is constitutive of a public.

So long as we think of education as a consumer good, a “product” we purchase for our children, we will continue to have affluent families segregate themselves from poorer communities, and we will continue to exacerbate inequality.

Public education is–and must be categorized as–a public good. And an exceptionally important one. Properly understood, it is not something that private markets can provide.