Abstract
Abstract The objective of the paper is to analyze the effectiveness of the existing institutional arrangements for providing primary education in Ethiopia. Using largely secondary data and a complementary survey of 100 schools and institutional assessment, the study clearly establishes the fact that as real school resources have been increasing over time while quality and efficiency of primary education has been deteriorating. Thus, resources-based arguments cannot explain the grave quality crisis and inefficiency. Rather the existing institutional setup has been dysfunctional to ensure effectiveness and efficiency of the Ethiopian primary education system. The primary conclusion from this study is that the existing Ethiopian institutional arrangements have been effective in creating access to primary education but ineffective and hence dysfunctional in delivering quality of education.
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