Milton and Rose D. Friedman Foundation: Home LinkMilton and Rose D. Friedman Foundation: Home LinkAbout UsPublications and LinksContact UsAbout School ChoiceSchool Choice ResearchLatest NewsHow You Can HelpMedia CenterSite Map
LATEST NEWS

HOME
Friedman Fellow Published in New York Post

Milton Friedman Interview on CNBC

News Coverage of Milton Friedman's Testimony

Letter in the New York Times Book Review

Vouchers Win in D.C.!!

PARENTS ONE STEP CLOSER TO CHOICE IN THE DISTRICT!






March 24, 2003

Milton Friedman Interview on CNBC

FRIEDMAN ON SCHOOL VOUCHERS

Michelle:  you are the grandfather of school vouchers do you feel
victorious?

Mr. Friedman:  Far from victorious, but very optimistic and hopeful.  We are
at the beginning of the task because as of the moment vouchers are available
to only a very small amount of children.  Our goal is to have a system in
which every family in the U.S. will be able to choose for itself the school
to which its children go we are far from that ultimate result.  If we had
that a system of free choice we would also have a system of competition,
innovation which would change the character of education.  You know our
educational system is one of the most backwards things in our society in the
may we teach people they did 200 years ago there is a person in the front of
the room there are children sitting down at the bottom and they are being
talked to can you name any other industry in the U.S. which is as
technologically backward I can name one and only one..the legislature for
the same reason. Both are monopolies the elementary and secondary school
system is the single most Socialist industry in the U.S. leaving aside the
military, but aside from the military its a major socialist industry, it is
centralized and the control comes from the center and the difficulty of
having a monopoly in which people cannot choose has been exacerbated by the
fact that it has been largely taken over by teachers unions, the national
education association and the american federation of teachers and the
unions.  Understandably I do not blame them but they are interested in the
welfare of their members not the welfare of the children and the result is
they have introduced a degree of rigidity which makes it impossible to
reform the public school system from within.  Reform has to come through
competition from the outside and the only way you can get competition is by
making it possible for parents to have the ability to choose.

Michelle:  Give to me a model, an example of how it would work

Mr. Friedman:  Very simple, take the extreme the government says we are
willing to finance schooling for every child.  The government compels
children.  If you look at the role of government in education there are 3
different levels there is a level of compulsory the government says every
child must go to school until such and such and age.  That is the equivalent
of saying if you are going to drive a car you must have a license.
The second stage is funding not only do we require you to have an education
but the government is willing to pay for that schooling.  That would be
equivalent to saying the government is willing to pay for your car that you
drive.  The third level is running the educational industry that would be
the equivalent of the government manufacturing the automobile or to put it
in a different image consider food stamps today.  Food stamps are funds
provided by the government but if that were to be runned like the schools
they would say everybody has to use these food stamps at a government
grocery and each person with food stamps is assigned to a particular
government grocers so the only way you can get your food stamps is by going
to that grocer do you think those groceries would be very good?
We know what the situation is in schooling people say why now and not 50-75
years ago?  Well, when I went to high school t hat was a long time ago in
the 1920s there were a 150,000 school districts in the U.S and the
population was half what it is now.  Today, there are fewer than 15,000
school districts.  So it used to be that you really did have competition
cause you had small school districts and parents had a good deal of control
over those school districts, but increasingly we have shifted to very large
school districts, to centralized control, to a system in which the
governmental officials in which the educational professionals control it and
like every socialist industry it produces a product that is very expensive
and of very low quality.  Of course it is not uniform there are some very
good schools do not misunderstand me, but there are also some very bad ones.

Michelle:  I interviewed some folks who are against school vouchers and they
say that if you really want to help out a school what you should do is
provide high quality early childhood education, small classes, small
schools, summer school available to children who want it.  Put money to
those items which they claim would work.

Mr. Friedman:  They don't, we have been doing that.  The amount of money
spent per child adjusted for inflation has something like doubled or tripled
over the last 20 years.  Twenty years ago we had this report "a nation at
risk" that pointed out all of the difficulties I just referred to and which
pointed out this was a first generation that was going to be less schooled
then its parents.  We are now in the next generation and will be even less
well schooled.  We have had every possible effort you could have from reform
from within.  It is not just in schools it is in any area reform has to come
from outside it has to come from competition.  Let me illustrate that from
within the school system. the united states from all accounts ranks #1 in
higher education people from all over the world regard the United States
colleges and universities the best and most varied.  On the other hand in
every other international comparison we rank near the bottom in elementary
and secondary education why the difference?...one word..choice.  The
elementary and secondary education the school picks the child it picks its
customer.  In higher education the customer picks its school, you have
choice that makes all the difference in the world.  It means competition
forces product. Look over the rest of the economy is there any area in the
u.s. in which progress has not required progress from the outside.  Look at
the telephone industry when it was broken down into the little bells and
opened up the competition it started a period of rapid innovation and
development the key word is competition and the question is how can you get
competition.  only by having the customer choosing.

Michelle:  There is concern that money is going to religious schools.  That
the majority of the students in voucher programs that exist use them to
attend schools with religious affiliation?

Mr. Friedman:  Why?  Because the vouchers are so small in some cases.  It is
true that of the private schools in the u.s the great bulk of them are
religious.  that is for one simple reason here is someone selling something
for nothing somebody down the street is giving away chocolate and you want
to get into the business of selling chocolate that is kind of tough isn't it
here at schools children can attend them they are not free they are paying
for it in the form of taxes but there is no specific charge for going to
that school somebody else is going to offer it.  The churches, the religious
organizations have had a real advantage in that they were the only ones
around who were in a position to subsidize the education and keep the fees
down low. If you open it wide the most recent case was Ohio, cleveland case.
The voucher that they had had a max value of $2,500 now it is not easy to
provide a decent education at $2,500 and make money at it make it pay at the
same time the state of Ohio was spending something like over $7,000 per
child on schooling if that voucher had been $7,000 instead of $2,500 I have
no doubt that there would have been a whole raft of new private, non-profit
both profit and non-profit schools.  That is what has happened in Milwaukee.
Milwaukee has a voucher system and today the fraction of the voucher users
in Milwaukee going to religious schools is less than the fraction going to
religious schools was before this system started because there have been new
schools developed and some of them have been religious but many of them are
not.  In any event, the Supreme Court has settled that issue they have said
that if it is the choice of the parent if there are alternatives available
there are government schools, charter schools, private non-denominational
schools, private denominational schools so long as the choice is in the
hands of the parent that is not a violation of the 1st amendment.

Michelle:  You have a friend and an ally in the White House when it comes to
vouchers

Mr. Friedman:  I should say.  Mr. Bush has always been in favor.  He is in
favor of free choice.  Remember vouchers are a means not an end the purpose
of vouchers is to enable parents to have free choice and the purpose of
having free choice is to provide competition and allow the educational
industry to get out of the 17th century and get into the 21st century and
have more innovation and more evolvement.  There is no reason why you cannot
have the same kind of change in the provision of education as you have had
in industries  like the computer industry, the television industry and other
things.

Michelle:  Is it refreshing to have a President that, Bill Clinton was
firmly against vouchers.

Mr. Friedman:  No, it is a case of circumstances when he was Governor of
Arkansas he was not against vouchers.  He was in favor, but when he became
President he came out against vouchers.  I should say he did not oppose
vouchers as Governor and he did as President and that was for political
reasons.   People don't recognize how powerful politically the teachers
unions are. Something like a quarter of all the delegates at the democratic
national convention are from the teachers union.  They are probably the most
powerful pressure group in the U.S... very large funds, very large number of
people and very active politically.

Michelle:  We talk in the office about how President Bush has some very
Friedmanesq ideas.

Mr. Friedman:  They are not freidmanesq they are just good ideas.  I hope
that is true anyway. I think very highly of President Bush and I think in
these areas don't misunderstand me that is not a blanket statement there are
some things he has done that I disagree with, but taken as a whole he has
been moving in the right direction of trying to move toward a smaller more
limited government trying to provide more freedom and more initiative in all
areas.  His philosophy on Medicare is the same as his philosophy in schools.

Michelle:  Is that refreshing?

Mr. Friedman:  It is an interesting thing,  if you look at the facts the one
area the area in which the low income people of this country, the blacks and
the minority are most disadvantaged is with respect with the kinds of
schools they can send their children to.  The people who live in Harlem or
the slums or the corresponding areas in LA or San Francisco they can go to
the same stores, shop in the same stores everybody else can, they can buy
the same automobiles, they can go to supermarket but they have very limited
choice of schools everybody agrees that the schools in those areas are the
worst they are poor.  Yet, here you have a Democrat who allege their
interest is to help the poor and the low income people here you have to take
a different point every poll has shown that the strongest supporters of
vouchers are the low income blacks and yet hardly a single black leader has
been willing to come out for vouchers there were some exceptions Paul
Williams in Milwaukee who was responsible for that...and a few others

Michelle:  Why do you think that is?

Mr. Friedman:  For obvious reasons, political. It has been to the self
interest to the leaders the school system as long as its governmental its a
source of power and jobs to hand around and funds to dispose of.  If it is
privatized that disappears and the other aspect of it is the power of the
teachers unions.
Right now those of us that are in the upper income classes have freedom of
choice for our children in various ways we can decide where to live and we
can choose places to live that have good schools or we can afford to pay
twice for schooling once by taxes and once by paying tuition at a private
school.  It seems to me utterly unfair that those opportunities should not
be open to everybody at all levels of income.  If you had a system the kind
I would like to see the government would say we require every child to get a
certain number of years of schooling and in order to make that possible we
are going to provide for every parent a voucher equal to a certain number of
dollars which they can use only for schooling can't use it for anything
else.  They can add to it, but they cannot subtract from it.  Those will be
those can be used in government schools let the government run the school
but force them to be in competition so that all government schools charge
tuition, but can be paid for by that voucher but that same voucher can also
be used in private schools of all kinds and then you would have an open the
teachers union complained and they insist they are doing a good job.  if
they are doing a good job then why are they so afraid of some competition?

Copyright: MSNBC, Inc. 2003

 



Home | Privacy Policy | Contact Us | Site Map

© 2002 The Friedman Foundation