Educational investment has been developed into a big industry in Korea. In 1990, 400,000 teachers are working for 1,1600,000 students at each level. Total expenditures, which includes opportunity cost as well as direct cost, is 2,080 billion Won in 19...
Educational investment has been developed into a big industry in Korea. In 1990, 400,000 teachers are working for 1,1600,000 students at each level. Total expenditures, which includes opportunity cost as well as direct cost, is 2,080 billion Won in 1990. In school finance several research questions were raised : how to acquire adequate money ; how to allocate the money to city or province, district, schools ; how to distribute the money to students including special students ; how to spend the money efficiently ; how to ensure the autonomy of schools to what extent.
Educational condition in Korea is still worse. Especially, in large city such as Pusan city required physical facilities are not accessible to most of students. Class size is large. Teachers have classes with more than 50 students. In general high schools, classes exceed 70 students. Educational condition in Pusan depends primarily upon educational finance.
Educational finance in Pusan city has some problems. First, the size of educational budget is small compared with the educational need. Second, private cost for education paid by parents is large. Third, educational budget depends largely upon central government. Fourth, large percentage of educational expenditures goes to personnel cost(salaries and fringe benefits). Therefore, expenditure for teaching and learning activities is constrained. Fifth, the expenditure disparity between public school students and private school students is considerable. Private school students have lower restitution rate than public school students. Sixth, schools do not exercise its autonomy in student selection, educational service etc. Seventh, there is loose connection between educational plan and financial management plan.
On the basis of the study, the following proposals are made : to enlarge the size of educational budget ; to enlarge financial contribution by the city government to educational finance ; to establish a relevant formula for allocation of school finance ; to strengthen school - site management so that schools exercise more autonomy ; to improve financial condition of private schools ; to have close connection between educational plan and financial management ; induce private cost to public expenditures.