Course Choice and Achievement Effects of a System-Wide Vocational Education and Training Voucher Scheme for Young People

Abstract

Vocational education and training provision for young people is a crucial but often maligned part of the wider education sector. A common criticism, and motivation for numerous reforms across countries where training is predominantly classroom-based, is that too much training is low quality and unrelated to skill needs. This article examines the effects of a major Australian reform—replacing a centrally planned model with a system-wide voucher scheme—aimed at addressing these weaknesses. The reform led to large increases in private college enrollments, improved match between course choice and employer demand, and improved student achievement, with no adverse impact on equity.