Household Expenditure on Education in China: Key Findings From the China Institute for Educational Finance Research-Household Surveys (CIEFR-HS)

Abstract

Purpose This study uses data from the 2019 China Institute for Educational Finance Research-Household Survey to investigate expenditure on children's education in China. Design/Approach/Methods Using descriptive and regression analysis, this study analyzes the level and structure of household expenditure on children's education, the associated disparities, and household financial burden. Findings The average household expenditure on regular full-time education nationwide was RMB 8,139 per child, accounting for 10.8% of total household expenditure. On average, 24.4% and 15.5% of elementary and high school students participated in out-of-school subject- and interest-oriented tutoring in AY 2018–2019, respectively. On an average, it costs a household approximately RMB 233,000 to educate a child from preschool to the undergraduate level. The total investments in regular full-time education nationwide were estimated to be RMB 6.2 billion—6.87% of the national Gross Domestic product. Moreover, based on an overview of various statistics on school funding, this study found that several years of public investments in compulsory education and rural schools have significantly reduced the disparities in school funding among income groups. Originality/Value This research is the first report giving a comprehensive picture of household expenditures on education nationwide in China. It provides empirical evidence for exploring policy tools to realize the balanced development of education.