School finance policy and social justice

This paper examines the relationships between funding principles and theories of justice. Additionally, it analyses the effect of school finance policy (SFP) on improving equality of educational opportunity (EEO), using logistic regression on Israeli data in the years 1999-2007.The examination reveals that alternative funding principles are in-line with different theories of justice. This, in turn, legitimizes alternative decisions regarding redistribution mechanisms perceived as just or unjust.The analysis reveals dominant elements which were included in the formula had an incremental improvement effect on EEO (e.g., maternal education). And, elements that were not included, had a diminishing effect (ethnicity, community-wealth). The recent reform (2010) is discussed as a means to improve EEO and social justice.