Evaluation of the Introduction of Normative per Capita Financing in Educational Institutions

Abstract

Normative per capita funding as a tool of financial planning and financial support of institutions is aimed at improving the quality of education, motivating and heightening interest in achieving the planned targets through wage incentives. Inter-regional comparison of indicators and factor analysis has made it possible to assess economic and social consequences of the introduction of per capita financing of educational institutions. The article presents the results of the analysis of cost-efficiency indicators for the municipal system of General education with normative per capita financing in the form of subventions in 2014-2017 by the example of two territorial subjects of the Russian Federation: Irkutsk region and Zabaikalsky region. The study reveals the number of objective reasons for the differences which are based mainly on the different levels of socio-economic development of the territories. However, the paper identifies some similarities between the regions: there is a certain reduction in the number of teachers and an increase in the number of students. Wage growth depends on the average wage in the region and can vary significantly across the territories, which puts teachers in unequal financial position. It is concluded that financial savings can be achieved by intensifying the work of the teachers in both regions, which can lead to a further deterioration in the quality of education. The article proposes to improve the existing system of inter-budgetary relations both at the regional and federal levels in order to create equal opportunities for quality education of the students and decent wages for the teachers, regardless of their place of residence, at the same time, it is important to take into account regional characteristics of the federal entities.