Thanks for this non-accusatory and thoughtful expression of the issues. Not("good to have" = "good for government to supply or subsidize"). The "public goods" argument makes sense and may yield decent policy conclusions when the "good" is easy to define, broad consensus can be reached on the wisdom of subsidization (or direct provision), and performance of producers is easy to monitor. National defense, roads, crime control, and environmental protection come to mind. Neither "easy to define" nor "easy to monitor" characterize the education industry. What is "education"? How much does any teacher contribute to any particular student's performance? Cartel defenders are always reminding us that schools have to deal with the children of abusive and/or neglectful and/or retarded parents.
I don't recall using "fair" in this discussion. More materialistically, policies that restrict tax subsidies to institutions operated by government employees yield less benefit to students and society at large than would policies that empower parents to determine for their own children which institution (if any) shall receive the taxpayers' age 6-18 education subsidy. When a good or service is as vaguely defined as "education" and policy restricts subsidies to one supplier of education services, regulatory capture and corruption are inevitable. See Axelrod,
The Evolution of Cooperation, Hirschliefer, "Anarchy and its Breakdown" (
Journal of Political Economy), and Prendergast, "The Market for Yes Men" (
American Economic Review).
I do not believe that society as a whole benefits from a State (government, generally) role in the education industry beyond the role that it plays in the lawn care industry or the kitchen utensil industry: an original assignment of title and a stable system of contract law where non-State actors may resolve contract disputes. The current legal environment in which the education industry operates is far from that. Society has a large investment in the current institutional structure. Revolutionary change imposes large costs in lost information. Incremental change makes more sense than revolutionary change. Within the current framework of tax support of schools, government operation of schools, accreditation of schools by quasi-independent accreditation agencies, child labor laws, minimum wage laws, and compulsory attendance laws, I support most expansions of educational options for children and parents: vouchers, subsidized homeschooling, charter schools (with any accredited post-secondary institution authorized to create a charter school), "virtual" enrollment in on-line accredited schools, mandatory (for government school districts) credit-by-exam for all courses required for graduation, and (my preference)
Parent Performance Contracting.