Many believe that equality of opportunity will be achieved when the prospects of children no longer depend upon the wealth and education of their parents. Many also believe that democracy is the political institution that will bring about justice. This study asks whether democracy, modeled as competition between political parties that represent different interests in the polity, will result in educational funding policies that will, at least eventually, produce citizens with equal capacities (human capital), thus breaking the link between family background and child prospects.

Contents

1. A brief overview; 2. Models of democratic party competition; 3. Democratic competition over educational investment; 4. The dynamics of human capital with endogenous growth; 5. Estimation of technological parameters; 6. Conclusion.