Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, August 30, 1994 TAG: 9410120001
SECTION: EDITORIAL PAGE: A5 EDITION: METRO
SOURCE: J.C. SCHWEINGROUBER
DATELINE: LENGTH: Medium
Instead of selling an education bond or using the voucher system, why can't our politicians use something similar to the stock market? When people decide to market a product, they sell their idea and allow people to buy their stocks to raise capital in order to build and produce their products for profit for themselves and for the stockholders. Our politicians could sell an education stock, a stock in our state's future, by allowing private industry to be more involved with the education system.
The part where businesses enter this idea is the most beneficial to the state's success. Businesses in the state would have a hand in setting learning requirements for public-school students. Those who set the school achievement standards for our students would meet with the state's business leaders to compromise on another set of standards that would contain government standards and standards that the business community would require.
This would give the business community the opportunity to set requirements that would better prepare students for the work force. Future employees would have to acquire specific skills in the public education system, saving businesses the cost of retraining workers. Sponsoring businesses also would have the opportunity to get their names better known in all parts of the state.
The money raised by these education stocks would be used to open businesses in our state, such as an amusement park or teen night clubs. In Southwest Virginia, I have heard many teens complain about the lack of such entertainment. Such businesses could be good for local economies.
Most of the revenue from these businesses would go straight to a special board, either elected from state districts or appointed by state officials, to be appropriated to the state's public schools. The remaining profits would go to the stockholders, who would be teachers, parents, grandparents and business people, as a payback for their confidence and support of the state's young people.
The stockholders would receive only a small percentage of the revenues, however. As long as the stockholders keep the stock they will receive dividends every year, guaranteeing that, in time, they will get back more than they put into the system. The benefits of this idea:
The school system will turn out better-prepared students for the work force.
Businesses will be allowed to save money otherwise spent to retrain workers.
Businesses will be given a better opportunity to help shape the future of our youth.
Stockholders will be allowed to show their confidence in our youth and in the future of the state's economy.
State government, with time, will have the option and opportunity to lower state taxes, since there would be this large alternative revenue for education funding.
I have told this idea to many people, and the response has been mostly positive. Some may agree and some may disagree about my idea, but I believe that it is worth consideration by our state politicians and business leaders. It is vital to our students and to the future of the state as well as our country. Surely the state government and the business community can work together toward this common goal to ensure a better future for Virginia.
J.C. Schweingrouber of Richlands is an economics and business administration major at King College in Bristol, Tenn.
by CNB