Horizontal Equity

Education finance measures revolve around two fundamental equity issues: horizontal and vertical equity.

Horizontal equity states that students who are alike should receive equal shares of funding.5 Horizontal equity

is measured by calculating the dispersion, or inequality, in the distribution of funds. When no inequality in

funding occurs, perfect horizontal equity exists. Horizontal equity occurs when schools receive equal funding

levels in areas including per pupil expenditures, student–teacher ratios, and equal teacher resources across

various measures. Again, this concept applies when children or schools are considered to be alike.

In measuring horizontal equity, broadly applied, we can compare large and similar subgroups of

students, such as all vocational students at the high school level, all full-day kindergarten students, or all

students in general education elementary classrooms. We would expect spending, or resource allocation, to be

substantially similar for each of these rather large subgroups. If the resource allocations vary substantially,

such as a half-day kindergarten program at one school and a full-day program at a similar school, the criteria for horizontal equity have not been met.

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