Education philanthropists should not take advice from Larry Summers

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Tyler Cowen just interviewed Larry Summers.

In a blog post about the interview, Tyler wrote: “if you think you know someone who is very smart, Larry is almost certainly smarter.”

This may be the case when it comes to economics. While I’m in no position to evaluate his economic policy claims, I found Summers to be reflective, curious, and thoughtful. He seems like the kind of person I would enjoy working with.

But Summers also discussed education philanthropy, and I came away with a strong belief that I almost certainly smarter than Summers on this subject.

I don’t say this because I for sure know that I’m right and Summers is wrong; rather, I say this because I have a firmer grasp of the research, more hands on experience, and a clearer strategic vision for scalable and sustainable change.

Given that Summers likely has a good 20-30 IQ points on me, and that he has risen to the top of an extremely competitive field, the fact that I’m likely smarter than Summers in this area is a testament to the powers of specialization and the domain specific nature of knowledge.

How should you spend a $100 million? 

In the interview, Tyler asked Summers how he would advise a philanthropist in St. Louis who wanted to give away a $100 million to help her city.  After admitting the he knew little about St. Louis, Summers answered the question more generally, and said that he would focus on public education.

As it happens, my job is to advise philanthropists who want to improve public education. Currently, our team manages the philanthropic giving for Reed Hastings and the Laura and John Arnold Foundation.

Given my day job, I was curious to hear how Summers would respond.

Moreover, while he may not remember, Summers was once asked about relinquishment during an interview on education reform (I was in attendance and vividly remember him saying “Ah, relinquishment…”), and I was curious to see if my ideas had impacted him at all.

They have not!

Summer’s advice: avoid charter schools and work outside the system 

In the interview, Summers gave two pieces of advice to education philanthropists:

  1. Avoid charter schools: Too many philanthropists set-up charter schools that cream students, pay teachers salaries that are not sustainable on the public dollar, and then ultimately cannibalize the traditional system of good students, good teachers, and public funds.
  2. Avoid the K12 system: Instead of trying to tackle the core K-12 system, it’s better to fund efforts that work around the system, such as after school or summer school.

I think both of these points are wrong.

Summers ignores a large evidence base on charter schools

I recently summarized the evidence on charters schools on this blog. Summers ignores most of this research:

Achievement: Urban charter schools outperform traditional public schools, posting annual effects of .05-.1 standard deviations. This holds true with both quasi-experimental designs (where researchers try to control for student selection) and experimental designs (where student selection is randomized). Charters are not achieving their impacts because of student creaming.

Funding: Charter schools, on average, receive much less funding than traditional schools. As I previously wrote about, in numerous cities where charter schools receive less money, they still outperform the traditional system.

Teacher Pay: Nationally, traditional school teachers have higher average salaries than charter school teachers. And while some of this is due to the effect that charters hire younger teachers, I have seen no research that indicates that, at scale, charters are picking off the best teachers by offering them unsustainable salaries.

Impact on Traditional Schools: Lastly, most research shows that charter schools have positive or neutral effects on traditional school achievement. Moreover, cities that have improved their educational systems over the past decade have often seen rising charter school enrollment during the same period. Washington D.C. and Denver stand out as primary examples of cities where all schools got better as charter schools expanded.

All boats rising – and not cannibalism – is the norm.

It appears that Summers is reasoning from anecdote rather research.

I am sure there are  some charter organizations that cream students and spend way above the public dollar (I can think of a few!), but these are outliers.

At scale, urban charter schools achieve more and spend less than traditional public schools.

Working outside the system is low impact and not leveraged with existing public funds

Summer’s second piece of advice – work outside the system rather than fix the system itself – is also flawed.

Yes, fixing the system is hard. But kids spend a lot of time in the system. It will be very difficult to improve public education if you ignore what happens to students from 8 AM to 3 PM for 13 years.

Moreover, to the extent that a philanthropist funds an outside the system intervention that works, the only way to scale the intervention is with more philanthropy or increased public revenues. There is no leverage with existing public dollars.

While I am not against raising additional public revenue for things that work, I think we should spend most of our energy improving the effectiveness of the dollars we already spend, especially given that systems level K12 interventions (like urban charter schools), are achieving success at scale.

If there was no evidence that the system could be fixed, I would tend to agree with Summers. But as more and more cities breakthrough and achieve citywide gains, the logic of working mostly outside the system is increasingly flawed. The one exception I’d make to this claim is pre-school, which has a reasonably strong evidence base and is increasingly funded with public dollars.

If you are a philanthropist who wants to improve public education in your city, please contact me 

In the event that Tyler’s question was not hypothetical in nature, and that there is a philanthropist in St. Louis who wants to donate a $100 million, I do hope she contacts me (neeravkingsland at gmail) rather than takes Summers’ advice.

I am a firm believer that philanthropy well spent can forever positively alter the trajectory of a city’s public educational system.

And while those of us advocating for systems level change still have much to prove, we now have numerous examples of cities achieving citywide improvements for their most at-risk students. Philanthropists should double down on their successes, evolve the model based on local conditions, and continue to fund further research so we can keep on learning.

3 thoughts on “Education philanthropists should not take advice from Larry Summers

  1. Howard Dean

    I also like and respect Larry Summers, and I agree that he is wrong, although not entirely. I certainly would rush to support good charters (not the creamers he described.) Where I might agree with him is the notion that investment in ancillary service if it is in early childhood is needed and effective. The best charters are still facing an uphill battle in economically deprived neighborhoods because the kids who arrive, even in pre school, are already well behind in essential learning skills and vocabulary. That is the gap that has to be filled. 0-3 development for children and families is our weakest educational link, even in great charter systems. Howard Dean

    On Thu, Sep 21, 2017 at 9:03 AM, relinquishment wrote:

    > nkingsl posted: ” Tyler Cowen just interviewed Larry Summers. In a blog > post about the interview, Tyler wrote: “if you think you know someone who > is very smart, Larry is almost certainly smarter.” This may be the case > when it comes to economics. While I’m in no positio” > Respond to this post by replying above this line > New post on *relinquishment* > Education philanthropists > should not take advice from Larry Summers > by > nkingsl > > [image: Screen Shot 2017-09-20 at 7.28.42 PM.png] > > Tyler Cowen just interviewed > > Larry Summers. > >

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    1. W. Murphy

      I’d love to see research that proves schools are not creaming. Does that exist? If so where? New Orleans of course is the outlier bc of centralized enrollment and charter scale..

      Is there also research that shows they’re not pasteurizing? That is – if charter schools don’t serve the 5-10% of kids who are most challenging and who traditional district schools must serve then it’s not exactly creaming but it must impact effect size.

      I sometimes wonder if the New Orleans stagnation is a function of the degree to which the “system” now serves all kids. For example, when I first moved back one charter network with whom I interacted expelled students after two fights. Those kids ended up in district schools. Now that network must serve those kids and Im not sure they have a sense of how to do so. Just a thought.

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