This review draws attention to the mutually reinforcing tendencies of analysts to neglect the study of how resources are allocated within schools and classrooms and to presume that decision makers at less centralized levels of the educational system react passively to resource allocation decisions made at more centralized levels. The purpose of the review is to demonstrate the importance of (a) striking a better balance between the level of attention given to resource allocation practices at macro compared to microlevels of decision making, and (b) learning more about the ways in which resource allocation decisions made at one level affect resource allocation practices at other levels of the educational system. The argument is supported by a detailed critique of exemplary studies drawn from the literature dealing with issues of equity and efficiency in the allocation of educational resources. Policy implications are given explicit attention throughout the review.
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