TY  - RPRT
        AU  - Yang, Xi
AU  - Zou, Jian
        TI  - The Finance-Education Nexus: Educational Consequences of US Interstate Bank Branching Deregulation
        PY  - 2026/Apr/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 18514
        UR  - https://www.iza.org/index.php/publications/dp18514
        AB  - This paper studies the impact of US interstate bank branching deregulation on school finance and student achievement, leveraging the deregulation as a state tax revenue shock. Total revenue and expenditure increase following the deregulation. The revenue increase stems mainly from higher state aid, with spending gains concentrated in capital outlays. Deregulation subsequently improves student achievement, with no distributional effects evident across students’ ability, race, or free lunch status. The findings highlight the spillover benefits of a centralized school finance system in channeling positive tax revenue shocks into public education funding and human capital formation.
        KW  - student achievement
KW  - school finance system
KW  - banking deregulation
        ER  -