1. AI3000: Dissertation
Student Number: u0412378
Module Leader: Meera Tiwari
Seminar Tutor: David Durkee
Submission Date: May 14th, 2007
France as a model for Chilean
educational reform to reduce
economic disparity

2. Table of Contents
ABSTRACT.................................................................................................. 0
INTRODUCTION ...................................................................................................... 1
1. THE CHILEAN EDUCATIONAL SYSTEM: A STOCK TAKE 1974-2004......... 3
a. 1973-1989: the radical restructuring of the Chilean educational system
through top-down market-oriented reforms ................................................................................3
b. 1990-2004: a need for equity and quality at the heart of the reforms
under democratic governments..................................................................................................6
c. Summary: the main features of the Chilean educational system. ....................................................8
2. THE IMPACT OF THE CHILEAN EDUCATIONAL SYSTEM ON THE
UNEQUAL STRUCTURE OF THE SOCIETY.......................................... 11
a. Pre-school education .............................................................................................................11
b. Primary and secondary education: a dual system ......................................................................12
c. Higher education as a means of reproducing inequalities............................................................15
d. Conclusions .........................................................................................................................18
3. THE FRENCH EDUCATIONAL SYSTEM AND ITS REFORMS
TO ADDRESS INEQUALITIES. ............................................................ 21
a. The main features of the French educational structure: a system very different
from the Chilean structure......................................................................................................21
b. The main reforms to address inequalities in France...................................................................23
4. ANALYSIS AND FINDINGS: CAUTIONS, RECOMMENDATIONS AND
CONCLUSIONS. ................................................................................ 28
a. Main weaknesses of the French system which Chile should give consideration. .............................28
b. The key strenghts of the French system that could be transferable................................................30
c. Conclusions and potential for further research...........................................................................32
CONCLUSION...........................................................................................................35
BIBLIOGRAPHY ......................................................................................... 38

3. 0
France as a model for Chilean educational
reform to reduce economic disparity
University Of East London
School of Social Sciences
May 2007
Abstract:
Although Chile has achieved great results in terms of economic growth and poverty reduction, the
Chilean society remains highly unequal. Inequalities increased with the radical reforms undertaken
during the Pinochet’s dictatorship. As democracy returned, the educational policies implemented in the
1990s have attempted to rectify this deficiency. However, Chile continues to face the challenge of
reforming its educational system as it continues to deepen economic inequalities. This study utilises a
comparative education analysis to examine what Chile could learn from the strengths and weaknesses
of the French educational system. On one side, the French example provides cautions related to early
streaming, option choice and social inequalities. On the other side, the use of grants inversely
proportional to parents’ income, the reduction of financial barriers to higher education, the
development of social mixing and of certain targeted affirmative actions, represent strengths of the
French education system that could inspire Chile.

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INTRODUCTION
Chile is often labelled as ‘the Latin tiger’ in order to express the significant
development of the country in the last twenty years. However, Chile has a very uneven
distribution of wealth. In 2000, 10% of the population owned almost half of the total income.
The Gini Index was 57.1 classifying the country in the top ten most unequal societies in the
world (UNDP, 2006: 335). As inequalities seem to be one of the remaining challenges in
Chile, it seems very relevant to look at different ways of reducing economic disparity. While
Sylwester (2002) identified a link between education and reduction of inequalities, a study of
the World Bank (2001) showed that decreasing income inequalities could boost economic
growth and help reduce poverty. Furthermore, several academic, governmental and non-
governmental studies established a relationship between education, economic growth and
development (MacMahon, 2000; Kagia, 2006; Guisan et al., 1999). Since a better-quality
educational system “would not just boost Chile’s long-term growth potential, but help reduce
income inequality” it appears significant to analyse how Chile could reform educational
policies (De Mello & Mulder, 2006: 1).
In order to do so, the following paper applies a comparative analytical study. The
educational system of a developed country will be carefully selected and examined in order to
investigate points of cautions and where Chile can get inspiration for introducing educational
reform to reduce economic disparities. France has been chosen for several reasons. Due to
colonisation and the European immigration waves in the 19th Century, Chile has more of a
European culture and it seems more suitable to base our comparison with a European
country with a roman language and not a Northern American, Asian or Scandinavian
nation. France presents numerous similarities with Chile on political, geographical,
demographic and economic aspects. Both countries have a democratic Republic and a
bicameral legislature branch, similar total areas of land from coastal plains to mountain
range and the dominance of roman-catholic religion. Rural depopulation is a fact in both
states, which also share similarities in terms of inflation, foreign trade and unemployment

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rate. Tourism and exports are of great importance in Chile and France (CIA, 2007a; CIA,
2007b). Most importantly, income inequalities have been decreasing in France since the
revolutionary epoch in the 18th Century and the contemporary French society is typified by
‘greater equality’ (Morrisson and Snyder, 2000). France has always emphasized the
willingness to create an egalitarian society by adopting the motto “Liberty, Equality,
Fraternity” as a symbol of the Republic. The French education system is also perceived as
among the world’s most renowned for its level of sophistication. Therefore, France appears a
relevant choice for the purpose of a comparative education study.
The first section of this paper will provide a stock take of the Chilean educational system
between 1974 and 2004 and will show the contrasts of the various educational policies
implemented during this period. The effects of the educational organisation on the unequal
structure of the Chilean society will be analysed. The areas in the greatest need of change will
be examined in order to explain the necessity of reform. Amongst these aspects, the unequal
provision of education quality between different quintiles and the financing structure of
education will be detailed. The analysis of the French structure of education will include the
main features of its functioning as well as the reforms which took place to reduce inequalities.
The significant successes and failures of the French educational system will provide cautions
and recommendations for the educational reform in Chile.

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1. The Chilean educational system: a stock take 1974-2004
The following section will detail the main reforms of the Chilean educational system in the
last thirty years. An evident distinction will be made between policies implemented during
the dictatorship and those made when democracy returned. In addition, the features of the
current educational system will be provided.
a. 1974-1989: the radical restructuring of the Chilean
educational system through top-down market-oriented
reforms
i. Context: economic neo-liberalism and the search for competition
Neo-liberalism refers to policies promoting free competition among different units of the
market. Government intervention is not recommended and cuts in public expenditure for
social services are favoured as well as deregulation, privatisation and trade liberalisation. In
1973, when General Augusto Pinochet took power, the government was led by a great
amount of “Chicago Boys”1, fervent supporters of the free-market economy (Schiefelbein,
1991). As a result, neo-liberal economic reforms were implemented in Chile and the
educational system underwent profound changes in order to increase standards, educational
efficiency and cost-effectiveness in the use of resources (Matear, 2007). Following the neo-
liberal principles, the focus was put on competition between public and private sector so as to
implement an improved system in terms of choice, quality and efficiency (Matear, 2006). The
1
The ‘Chicago Boys’ were a group of Chilean economists under the Pinochet government. There
were called Chicago Boys as they studied economics in the University La Catolica in Santiago and in
the University of Chicago. They were pro-free market and implemented neo-liberal policies
(Navarro, 2002).

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idea was that bad schools would improve in quality in order to survive or they would lose
their students and close down. As a result, public expenditures for education were cut while
private funding increased (Delannoy, 2000). This resulted in a highly market-orientated
educational system with a constant growth of private sector participation (Matear, 2006).
While 80% of Chilean students were enrolled in public schools in 1980, the municipal
enrolment rate dropped to around 57% in 1990 to reach 49% in 2004 (based on author’s
calculations using data from MINEDUC, 2005a: 27).
ii. Decentralisation and privatisation of the education system to facilitate
competition
Public school administration was transferred to the municipal level in order to facilitate
competition between public and private schools (Gonzalez et al., 2004). Decentralisation gave
the authority to municipalities for hiring, contracting and firing teachers as well as
maintaining infrastructures (Delannoy, 2000). The government remained in control over
technical-pedagogic issues such as curriculum, student progression and evaluation (Matear,
2007). Privatisation of the education system was facilitated. Three categories of private
schools were formed: subsidised private schools, private technical-vocational schools and fee-
based private schools. Private schools were encouraged to compete and incentives were given
to industrial groups to run technical-vocational schools. In order to finance education, a
voucher system was implemented.
iii. Voucher system
The education vouchers gave the ability to parents to choose freely the school of their choice
instead of being assigned to a specific school. The Chilean government “decided that a
demand-side approach would encourage greater efficiency” (Taylor, 2003: 33). Inspired by
Milton Friedman’s original proposal, the voucher system was adopted in the early 1980s.

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The aim was to generate an “education market” to promote competition and efficiency in
order to improve quality of education. Since the 1980s, funds financing education are
assigned to parents allowing them to choose the best school for their children (Carnoy, 2000).
As a result, the financial resources, to cover operating costs of schools, depend on the number
of students they can attract and retain. The subsidy is higher for secondary school and in
rural areas to compensate for higher costs. However, the voucher does not vary accordingly
to socioeconomic factors and each student receives the same amount (Gonzalez et al., 2004).
iv. The final impact of the military regime: Ley Orgánica Constitucional de
Enseñanza (10/03/1990)
On the last day of the dictatorship, the Ley Orgánica Constitucional de Enseñanza (LOCE)
was voted. The law “made any future amendments to the education reforms of 1980 and
1981 subject to an unattainable quorum in the parliament” (Mattear, 2006: 37). As a result,
the design and implementation of education policies have been contained in a legal
framework encouraging de facto continuity rather than change.
The legacy of the reforms, which occurred under the military regime, as well as the Ley
Orgánica Constitucional de Enseñanza constrained the role of the succeeding Chilean
governments in a highly-marketed educational system. The governments of the centre-left
coalition were caught between the continuation of a market-oriented educational system and
the desire to implement a more equitable structure providing better opportunities for all.

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b. 1990-2004: a need for equity and quality2 at the heart
of the reforms under democratic governments
i. 1990-1994: Primary education, targeted programmes and shared
funding
The terms equity and quality appeared during Aylwin’s presidency (1990-1994). At the
beginning of the 1990s, “40% of 4th graders belonging to the poorest half of the population
could not understand what they were reading” (Matear, 2007: 104). 97% of the richest
population was enrolled in secondary school compared with 73.6% for the poorest segment
(Delannoy, 2000: 12). There was an understanding that equity and quality were essential to
provide poorer quintiles with opportunities offered by a market economy (Delannoy, 2000).
As a result, the government implemented new programmes beginning with primary
education. In 1991, Mejoramiento de la Equidad y de la Calidad de la Educatión Bàsica
(MECE-Básica) was put into practice in order to improve the quality of primary education
in Chile. Needs in terms of infrastructure were first targeted followed by supplying schools
with basic materials such as books. Eventually, the focus moved to more complex
contributions such as classroom libraries (Arrellano, 2001). In order to increase equity
within the educational system, the state put in place compensatory programmes such as
P900, which aimed at supporting 10% of the worst performing primary schools (Garcia-
Huidobro, 2000: 166). The idea was to guarantee a certain level of education to the most
needy. Decentralisation and the voucher system were kept for several reasons, one of which
was the prevention of a dispute with the opposition3. In addition to the use of vouchers, the
2
Equity is defined as “attending the needs of an increasingly diverse school population and
targeting compensatory support to the most vulnerable in pursuit of equal educational opportunity”
while quality “no longer meant the accumulation of factual knowledge, but the mastery of higher-
order skills, attitudes and values” (Delannoy, 2000: 14).
3
“Conservatives were wary of any attempts to undo the structural and market reforms of the
Pinochet government” (Delannoy, 2000: 19)

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government introduced a shared funding system whereby parents could pay a
complementary sum to schools (OECD, 2004). This new system was broadly adopted in
subsidised private schools (Matear, 2007).
ii. 1995-1999: Secondary education and continuity of targeted
programmes
In 1994, the government of Eduardo Frei pursued the reforms and launched the MECE-
Media programme aimed at improving quality and equity of secondary education. Here
again, “the policy emphasis was on creating a modern education system for a democratic
society which could overcome inequalities, promoting social justice and equity” (Matear,
2007: 105). Targeted programmes were also maintained for example, free school meals and
learning materials were given to vulnerable families (Arellano, 2001).
iii. 2000-2004: the final stage of the reform- Higher education
The new millennium started MECE-Superior, which would complete a ten-year long
process of reform. The aims were to promote quality of higher education as well as
efficiency, cohesion and coordination of a complex and fragmented system where the
diversity of institutions causes serious challenges (Matear, 2006). In addition, the state
continued to make investment towards low-income families as well as giving financial
incentives to schools which helped economically disadvantaged children to be enrolled and
remain in education (OECD, 2004).
30 years of distinct reforms shaped a very unique educational system in Chile. The
following section will detail the key characteristics of the Chilean educational structure
resulting from the various reforms.

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c. Summary: the main features of the current Chilean
educational system
Figure 1: Graph of the Chilean Educational System

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i. Duration, enrolment and coverage rates
There are 12 years of mandatory education in Chile. Primary education is constituted of 8
years and there are 4 grades that need to be completed in secondary schools (MINEDUC,
2004). Universal primary education was achieved in the 1960s and secondary enrolment
rate reached 87% in 2002 (World Bank, 2006c: 95). The coverage of preschool and higher
education has also increased but remains low by international standards. In 2002, 31.5% of
18-24 years old were enrolled in post-secondary education (OECD, 2004: 17) while the
coverage in pre-school stood at 30.3% in 2002 (Delannoy, 2000: 1).
ii. Administrative categories: the increasing influence of the private sector
There are four types of schools in Chile: municipal or public schools, which are funded by
the government and managed by the municipality; private subsidized schools, which are
also funded by the government on the basis of enrolment but run privately; fully private fee-
paying schools, which are privately administrated and funded (mainly by parents) and
corporation schools also called technical-vocational schools, which are managed by
corporations or private businesses with government funding. Private subsidized schools
have the power to hire and dismiss teachers. These establishments usually select and
expulse students whereas “municipal schools have to accept all students when they have
vacancies” (Mizala et al., 2005: 7). In 2004, 49.4% of students were in municipal schools,
41.5% in private-subsidized ones, 7.7% in private paid schools and 1.4% in corporation
schools (MINEDUC, 2005b: 35). These figures contrast with the ones in 1990 when
municipal schools accounted for almost 58% and subsidised private ones for around 32%
(ibid.). This shows the high degree of private sector participation in the Chilean education
system, including tertiary studies (Matear, 2006).

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iii. Funding
Schools receive income from the parents, the municipalities and the government (Mizala et
al., 2005). Public expenditure has been rising steadily for the last fifteen years, going from
2.4% in 1990 (World Bank, 2006c: 91) to 4% of the GDP in 2004. Private spending on
education also increased from 1.6% in 1990 to 3.3% in 2004 (MINEDUC, 2005b: 43). This
shows a strong commitment of the government towards the development of the Chilean
educational system as well as a significant financial contribution of the private sector. As a
result, 7.3% of the Chilean GDP per capita was spent on education in 2004 (ibid.).
The increase of funding and the education reforms that began in the 1990s contributed to
the expansion of the quantity and quality of education. However, the functioning of the
Chilean educational system remains segregated from pre-school education to tertiary
studies and increases the unequal structure of the society.

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2. The impact of the Chilean Educational system on the
unequal structure of the society
a. Pre-school education
i. Importance of preschool education
Preschool education refers to education given to children under the age of 5. The basics of
human development are formed during the child’s first years. Early Childhood Education (ECE)
helps the development of cognitive, social and emotional skills in children and has significant
effects on children’s performance throughout their school years and later in their life (World
Bank, 2006b). There are measurable differences in schooling outcomes between children who
benefited from preschool education and those who did not. A study (UNESCO, 2003) revealed
that academic performance of children who receive quality ECE are substantially higher as
preschool education contributes to improving quality and reducing inequities in primary and
secondary school learning. Lastly, “preschool education increases the likelihood of finding
lucrative employment and higher earnings” (World Bank, 2006c: 99). Moreover, the benefits of
preschool education are especially strong for children from poor socio-economic milieu. As a
result, increasing investment in ECE among disadvantaged children could help reduce
inequalities as job opportunities increase (World Bank, 2006b). However, the access to pre-
school education is very unequal in Chile.

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ii. The segmented Chilean pre-school education structure and the impact on
inequalities.
The Chilean enrolment rate in preschool education has increased from 16% in 1990 to 35.1%
in 2003 (World Bank, 2006c: 97). This rate remains lows and there are great disparities across
socio-economic classes. In 2003, around 50% of students from the highest quintiles received
ECE compared with 30% of the poorest quintiles (Schiefelbein, 2000: 185). Although overall
enrolment rate has been increasing over the years, the gap between children from different
socio-economic background continues widening to the benefits of higher quintiles (World Bank,
2006b). The polarized structure of ECE in Chile reinforces inequalities as children from poor
quintiles are the students who need preschool education the most but receive the least. As a
result, thanks to ECE, children from privileged milieu will see their schooling performance
increase even further in primary and secondary education while disadvantaged children will fall
behind.
b. Primary and secondary education: a dual system
i. Voucher system and seclusion of schools by socio-economic criteria
The voucher system has led to segregation between higher and lower income groups. The
system was designed to enable parents to choose the best schools for their children but in fact
this freedom of choice has become correlated with the purchasing power of individuals (Taylor,
2003). Poorest families are less likely to exercise choice because they do not have the same
financial and intellectual capacity to look for and use information on schools (Carnoy, 1998).
“The information networks they (parents) consult and the quality of information they obtain is
related to their socioeconomic background” (World Bank, 2006c: 122). As a result, there is
unequal access to information on school performance and higher income groups are better able
to choose the best schools for their children, increasing disparities in terms of educational
attainment.

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In addition, schools tend to favour students from higher income families and with high abilities.
In order to compete, private schools have admission policies and attempt to select the best
students in order to get the best results and to improve peer composition (Hsieh & Urquiola,
2003). These policies are exclusionary by nature and discriminate on family background as the
best students come predominantly from higher income groups (Gonzalez et al., 2004). As a
result, the use of vouchers led to ‘“cream-skimming”; meaning that the best students from public
schools flew to the private sector (McEwan & Carnoy, 1998: 2). The outcomes of municipal
schools were affected as they could not benefit from peer effect and they were left with students
from lower income deciles, who do not perform as well (Matear, 2007). The educational system
became stratified as the voucher system led to “significant differences in educational results and
encourages discrimination against lower students by schools that are able to select their
students” (World Bank, 2006c: 120).
In 1993, the shared financing option was established and subsidised private schools, at all levels,
and municipal schools, at the secondary level, were enabled to charge parents with a
supplementary fee (Taylor, 2003).
ii. Shared financing increased the polarization of the system
The aim of the shared financing was to increase resources in schools to be invested in the
improvement of quality of education (Matear, 2007). The system was extensively used in
subsidised private establishments bringing extra resources in schools, which already benefited
from socio-economic advantages.
Families from the highest quintile spend on average US$350 a month while those from the
lowest group spend US$35. As a result, “for many students in Chile, choice in education is
determined by ability to pay” (ibid.: 107). The increase of funds through the shared financing
system has benefited to middle and upper income families that can pay the supplementary fee
and access better schools. At the same time, it has reinforced polarization between high and low
income families (Taylor, 2002).

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iii. Quality differs in relation with different type of school and socio-economic
groups.
The Sistema de Medición de la Calidad de la Educación (SIMCE) is a national system
implemented in 1998 to measure educational performance (Garcia-Huidobro, 2000). In
general, the results at the SIMCE shows that municipal schools do not perform as well as
subsidised and full private schools (Matear, 2007). The reasons are multiple. Private schools
benefit from greater financial resources as they typically charge more (Taylor, 2003). The fees
provide the opportunity for increased human and capital resources and the selective admissions
policies screen the best children (Matear, 2006). Furthermore, “private schools tend to avoid
having a high number of low-income children because they cost more to teach” (Garcia-
Huidobro, 2000: 175). Private schools have the best teachers in the country, adequate facilities,
and internationally prepared instructional materials (Schiefelbein, 2000).
The educational system is stratified for the following reasons; admission policies refuse entry to
many disadvantaged children and most low-income families cannot afford top-up tuition fees
and the cost of uniforms. As a result, poorest children go to the lowest achieving schools whereas
the richest children dominate the highest achieving schools (Taylor, 2003). In municipal
primary and secondary schools, respectively 80.9% and 72.1% of students come from the
lowest-five income deciles (Matear, 2006: 39).
Matear (2007) combined data on socio-economic background and types of school attended to
demonstrate that socio-economic characteristics of students have a greater role on school
performance than the type of school attended. Poorer students have more difficulties in schools;
they have greater dropout and repetition rate (Delannoy, 2000). This means that public schools
do not perform as well not because of their structure but because their students come mostly
from poorer quintiles. In fact, at similar quintiles, poor students succeed better in public schools
(Matear, 2007).
.

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iv. Consequences: primary and secondary schools are segmented by socio-
economic groups and worsen prospect of reducing income inequality.
Poorer students remain confined in municipal schools, which have less means of providing a
good quality education. Having less financial and human resources, accepting children from all
background, municipal schools do not operate in conditions as favourable as in private schools.
In addition, they do not enjoy positive peer effects. As a result, the Chilean education system
remains socially stratified and students from middle and upper income groups benefit
excessively from the best educational provision and in Chile whilst poorer students lag behind.
In Chile, it seems that the more money one has the better education one is likely to receive.
The unequal access to quality education at primary and secondary levels contributes to
inequalities in higher education.
c. Higher education as a means of reproducing inequalities
i. Particular importance of higher education in Chile
In Chile, the returns of education are very different than elsewhere. In Europe, primary
education has a higher return rate than tertiary studies. In Chile, primary and secondary
education does not really impact on income. However, incomes are greatly impacted by higher
education (Beyer, 2000; OECD, 2004). As a result, returns of higher education are important in
Chile where an additional year of higher education has a marginal effect on salaries of 22%. A
citizen with higher education earns 1.5 times more than a person with basic education in
Europe and 5.5 times more in Chile (Beyer, 2000: 98).

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ii. The roots of the dual higher education structure: difference of quality in
primary and secondary education
The unequal provision of quality at primary and secondary levels is detrimental for the
preparedness of students in municipal and private subsidised schools to enter universities. This is
especially true for accessing universities of the Consejo de Rectores, which are the most sought-
after institutions (Matear, 2006). For example, over 70% of the students attending the private
Pontificia Universidad Catolica and 51% from the national state university Universidad de
Chile (the two best Chilean universities) respectively went to fully private schools (ibid.: 40). As
students from richer quintiles receive better quality education they achieve better results at the
university entry exam (Prueba de Selección Universitaria – PSU). As a result, they get accepted
in the best universities (OECD, 2004). When students do not score well enough at the PSU, they
can go to a new private university, a private professional institute or a centre of technical
formation, which are not free and which do not allow for governments grants and loans.
iii. Influence of financial resources
In Chile, there are 25 ‘traditional universities’ also called universities of the ‘Consejo de
Rectores’ (Council of University Presidents) (Matear, 2006). From 1982, students attending one
of these universities were entitled to receive financial help from the government. In 2003,
financial help was given to 43.51% of total students (MINEDUC, 2004: 84). Student loans were
not given to students attending other universities, professional institutes and technical centres,
leaving more than half of them without any government help to finance their studies. This is a
significant problem as students receiving this type of higher education come largely from lower
income groups (Matear, 2006). As poorer students received lower scores at the PSU exam,
professional institutes and centres of technical training often remain their only option to get
higher education. However, their access tends to be restricted by a lack of sufficient financial
resources.

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Indirect public funding is given to universities that recruit the highest scoring students in the
PSU exam. To attract the best students, universities provide them with grants, concession in fees
and other benefits. However, the best performing group, towards which the highest amount of
money is given, consists of 60% of students from private schools (ibid.: 44). As a result, the
structure of the institutional funding increases the polarisation of the educational system for two
reasons. To start with, the institutional funding gives a clear disincentive to “promote equitable
access to socially disadvantaged students” as encouraging universities to select the best students
is akin to encouraging them to select the most privileged students (ibid). Secondly, privileged
students who studied in the most expensive schools benefit from extra financial support while
poorer students are the ones who would need it the most.
iv. Impact on inequalities
To conclude, many students are excluded from higher education due to poor scores at the
entrance examination test and poor quality of their secondary schooling. In addition, financial
resources are another major factor that restricts access of low-income groups to higher
education. The Chilean higher education system is highly stratified and those who have greater
financial resources are those who receive the best higher education. Higher education is
“reached by 60% of the rich but less than 10% of the poorest” (Delannoy, 2000: 43). This
reinforces inequalities considering the high returns rate on higher education (Beyer, 2000).

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d. Conclusions
i. The Chilean educational system reinforces inequalities
Source: author’s illustration
Economic
disparities
form
unequal
societies
Different
access of pre-
school
education
depending on
socio-
economic
background:
richer children
are better
prepared than
poor children
Unequal ECE and
access to better
schools for richer
children lead to
differentiated
access to quality
education between
quintiles at the
primary and
secondary levels
Students from
higher
quintiles have
higher income
as they have
jobs with
enhanced
skills
Richer
students are
dominant in
universities as
they had
better quality
of education at
secondary
level and have
more financial
resources
As they had
better higher
education,
students from
higher
quintiles have
better job
opportunities
which require
more skills

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ii. Poverty trap
The Chilean educational system does not seem to favour any social mobility. The current
framework of education within the unequal Chilean society seems to tighten the poverty trap.
Poorer people appear prevented from accessing a sufficient level of quality education to access
higher positions and better earnings. A vicious cycle is created whereby richer quintiles assure
their domination over the system.
iii. Education, poverty and development
Improving the access of quality education to all categories of the Chilean population could have
benefits for economic growth and development. Several studies (Kagia, 2006; MacMahon,
2000; World Bank, 2006d) suggest a link between education and economic growth. A more
educated population may improve quality of labour force which in turn can lead to better
innovation, increase of productivity, new technology and economic growth (UNESCO, 2005).
Furthermore, skills gained through education can improve the capacity of Chile to compete in
the globalised market (Kagia, 2006). Education also provides non-economic outcomes such as
improvement in health, human rights, sustainable environment, peace, stability and democracy,
which all contribute to better livelihood and development (McMahon, 2000; Haveman &
Wolfe, 1984; World Bank, 2006d). Development of education and reduction of economic
disparities could lead to the creation of a middle class with enhanced applicable capabilities and
knowledge. The Chilean population would then have better chances to take part in the
democratic process, which is essential to strengthen democracy and avoid the concentration of
power in the hands of a few. Through this democratic process and the acquisition of knowledge,
people could gain influence, raise their voice and political power to express their desire to live in
a more equal society (World Bank, 2006d). To conclude, reforming the educational system to
address economic inequalities seems central for Chile in order to continue its development
process. In order to help achieve this, Chile could look at the functioning of another system to

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get inspired. The educational system of France will now be examined. The features of the
current French system as well as the main reforms undertaken to reduce the impact of
inequalities will be detailed.

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3. The French educational system and its reforms to
address inequalities
a. The main features of the current French educational
organisation: a system very different from the Chilean
structure
Figure 2: graph of the French educational system

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i. Administrative organisation
The French education system is highly centralised (Thélot & Vallet, 2000). The state is
dominant and in charge of recruiting, training and remunerating teachers as well as most of the
administrative staff in schools. The French government organises teaching programmes through
the National Curriculum, defines and delivers diplomas, allocates resources and controls
educational policies (MENESR, 2005). The French administrative organisation is very different
from the Chilean system, which is much more decentralised.
The French education system is divided into four distinct levels: ‘école maternelle’
(kindergarten), ‘école primaire’ or primary school, ‘collège’ (lower secondary school) and “lycée”
(upper secondary school). There are also technical/vocational options in both lower and upper
secondary schools for students who do not perform well with the standard teaching.
Compared with Chile, private education remains marginal in France as only 17% of students
attend private institutions (Troger, & Ruano-Borbalan, 2005: 8). Chileans private schools have
more freedom and autonomy whereas French ones are much more controlled. In France,
private schools are essentially catholic establishments. Moreover, 97.4% of students in the
private sector go to schools, which are under contract with the government meaning that the
French government keeps relatively tight control over private schools (Duru-Bellat & Merle,
1997: 4). The finances of these private institutions are examined by the State, who imposes the
same curricula as in public schools and pays teachers (AFAE, 2005).
ii. Duration of studies, enrolment and coverage rates.
In France, instruction is compulsory between the ages of 6 and 16. The ‘école maternelle’ is not
obligatory but almost 100% of children between 3 and 6 receive three years of pre-elementary
education (OECD, 2006: 328). The coverage in primary school is also universal and lasts for 5
years. In 2004, around 93% of students achieved ‘collège’ while 70% of students accessed the

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level of the ‘baccalauréat’ at the end of secondary school (MENESR, 2005: 58). The ‘collège’ is
divided into four years and students take a final exam at the end. Pupils who continue to the
‘lycée’ will be prepared for the baccalauréat, the final examination where upon success opens
the doors of higher education. In 2004, the enrolment rate in higher education was around 50%
and students were twice more likely to receive post-secondary education as they were in 1984
(ibid.: 14).
iii. Funding
The main source of funding comes from the French government. In 2005, 6.9% of the GDP
was invested in the educational system (MENESR, 2006: 13). Around 85% of the total amount
came from the centralized government and local administrative institutions (Education &
Formations, 2003: 178). Chile and France invest a similar percentage of their GDP towards the
development of their educational system. However, the above figures concerning the
contribution of the public sector contrast with figures in Chile where half of the funds invested
in the educational system are private.
b. The main reforms to address inequalities in France
i. Pre-school education
There is a long tradition of early education in France where almost 100% of children from 3 to
6 go to “école maternelle’ (OECD, 2006: 328). In the 19th Century, “salles d’asile” were created
to take care of children from poor families aged between 2 and 7. In 1880, the “salles d’asile”
were incorporated into the formal primary level of teaching and called “école maternelle”
(Bouysse, 2006). For a long time, “école maternelle” remained an urban structure for
disadvantaged children. While the enrolment rate increased in the 1960s, universality of ECE
took off when a law in 1975 proclaimed the access to pre-school education to all children in

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France from age 3 as a right (MENESR, 2004). Early Childhood Education (ECE) is one the
most original creations of the French educational system as it is the only structure in the world
which is free, ‘laic’4, has teachers and inspectors with the same competence as in primary
school, is regulated by the Ministry of Education and has a national curriculum (Bouysse, 2006).
Different reforms made “école maternelle” as a real school which prepares children to primary
school through the provision of skills related for example to communication, reading and
writing (ibid.). France has focused on the special needs of disadvantaged children by developing
ECE at the age of 2 in the Educational Priority Zones (ZEPs)5 (Laronche, 2006).
ii. Jules Ferry laws and the Haby reform: expansion of primary and secondary
schooling
Between 1880 and 1882, Jules Ferry initiated the process of expanding education to all and
reducing inequalities of access (Chayette & Minassian, 2006). Instruction became free, laic and
compulsory for children between the age of 6 and 13. It was a true revolution for the system and
the Republican school was born (ibid.). Education was designed to develop citizenship by
enabling the population to have a critical opinion and to decide autonomously the direction of
their life (Troger & Ruano-Borbalan, 2005). The impact of the Ferry laws was very significant as
primary education level was massively opened up. This was especially significant for girls and
children living in rural areas. By educating more children, primary school reduced the gap
between different socio-economic classes, favoured their respective understanding and therefore
assured a certain national cohesion. Furthermore, cultural level rose in France and primary
schools became a tool of social mobility (ibid.).
For a long time, traditional lower secondary education was reserved to an elite. The system was
reformed between 1960 and 1964 in order to increase access to poorer children. The
4
Not controlled by a religious body or concerned with religious or spiritual matters.
5
Schools located in a ZEP receive additional human and financial resources due to their location in a
disadvantaged neighbourhood (Maurin, 2005).

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enrolment rate increase by 66% (Troger & Ruano-Borbalan: 24) but pupils chose different
streaming depending on their socio-economic background. To address these inequalities, the
Haby Reform created the “collège unique” in 1975 to merge the different types of establishment
into one (Duru-Bellat & Kieffer, 2000). The aim of the reform was to give the same chances to
all children to access the “baccalauréat” by providing common education to everyone (Maurin,
2005). As a result, the link between social origin and diploma has decreased. Almost all pupils go
to “collège” and there has been a great progression of students from disadvantaged background
reaching the “baccalauréat” (Education & Formations, 2003).
iii. 1963: ‘la carte scolaire’
In 1963, the Minister of Education created a system of school districts (“la carte scolaire”)
(Chayette, 2006). The “carte scolaire” divided France into small zones and obligated parents to
send their children to a specific school in their neighbourhood (Maurin, 2005). Parents could
not choose the establishment of their choice and had to give a proof of address when applying
for a school. The aim of that reform was school mixing. Several studies (CERC, 2006; Duru-
Bellat, 2003; ONPES, 2004) showed that mixing students in the same class increases the average
educational performance and that heterogeneity improves results of children in difficulty while
having marginal negative effects on best students. Pupils tend to adopt the attitudes and values
of the numerically dominant group. As a result, mixing students in heterogeneous classroom is
thought to improve educational aspirations of the most socio-economically disadvantaged
students (Duru-Bellat, 2000).
iv. Higher education
Higher education is very diversified in France. Different reforms in the 19th Century resulted in
a free higher education system (AFAE, 2005).
The government finances almost all of the costs of the universities, short technical studies and

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‘classes préparatoires’ (two years course which prepare to the examination entry to the ‘Grandes
Ecoles’). There is no restriction of entry in terms of financial resources as costs are minimal and
generally non-existent for poorer children who receive grants. The French higher education
system reflects the Republican idea of equality in its lack of academic selection at university
level. Any student who possesses the baccalauréat is entitled to attend university.
v. Affirmative actions: grants, ZEPs and other initiatives
In order to help disadvantaged students remain in the education system, the French government
allocates two types of grants, both inversely proportional to parents’ income. In 2005, financial
assistance was provided to 30% of students in secondary and higher education (MENESR,
2005: 30). Students receive a monthly payment, which hinges on their parents’ earnings. In
addition, another grant based on merit is given to the best performing students who already
receive the grant on social conditions (MENESR, 2005). As a result, even grants based on merit
are targeted to students with poorer income. Being aware that richer students are often the ones
who get the best results, the French government realised the need to restrict financial aid to the
poorest groups.
In the 1980s, the French government introduced the Educational Priority Zones (ZEPs) to give
additional human and financial resources to public schools located in disadvantaged
neighbourhoods (Maurin, 2005). The ZEPs benefited from additional financial resources as well
as more teaching positions and teaching hours. The aim was to reduce inequalities between
students attending privileged schools and students attending lower quality schools located in
deprived areas and students.
Other affirmative actions were put in place in order to tackle inequalities. The Institute for
Political Studies “Sciences Po Paris”, a highly selective institute, has created a special admission
test for students who studied in a ZEP (Piketty, 2006). In addition, in 2006, the Ministry of

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Education has established a partnership with representatives of universities, “Grandes Ecoles”,
business and engineering schools, to promote higher education and careers among children in
ZEPs. In practice, students in higher education volunteer their time to go to a disadvantaged
school. The school educative team selects the best students on the basis of motivation, results
and socio-economic background. The objective is to increase their culture and ameliorate their
methods of study. Moreover, the key element of the partnership is to make them aware of the
options available concerning long studies, higher education and occupations, as these students
typically lack this knowledge (Institut Montaigne, 2006). Organisations helping this type of
cooperation, such as ‘Preparemois’ (http://www.preparemois.fr/), are becoming increasingly
frequent.
France provides various examples of reforms aimed at reducing inequalities. Any model
generates knowledge. Even though a model possesses numerous difficulties, the acquaintance of
these weaknesses is valuable. As a result, the next section will provide strong points of the
French system that could be used in Chile but also weak points Chile could learn from in order
to avoid reproducing the same mistakes.

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4. Analysis and findings: cautions, recommendations and
conclusions
a. Main weaknesses of the French system which Chile should give
consideration
i. Option choices, early streaming and inequalities
The various processes of streaming represent one of the flaws of the French educational system
(MENESR, 2005; Duru-Bellat, 2003 Duru-Bellat & Kieffer, 2001, Education & Formations,
2003). Although quantitative democratization of education occurred in France, there is now a
differentiation by option choices (Duru-Bellat, 2000). The professional future of French students
is determined by the choices made throughout their schooling years. Streaming starts in lower
secondary education and continues each year until higher education (MENESR, 2005). “There
is a strong link between the type of baccalauréat you obtain and which tertiary study you can
follow” (Duru-Bellat, 2000: 35). By choosing certain foreign languages, technical or general
section, scientific or literature studies, students can influence the type of higher education they
will eventually follow. The problem is that strategies concerning schools are affected by people’s
socio-economic origins. For example, students from upper class families will choose Latin at the
start of “lycée” in order to increase their chances to take the scientific baccalauréat which will
open the most prestigious tertiary education. On the opposite side, with similar results, working
class students tend to go more towards technical/professional options, which close certain
options in higher education.
To promote equality, it seems essential to postpone irremediable decisions and limit the
influence of families. This shows that if Chile manages to equalize the provision of quality
education for all students, it seems necessary to have an educational system with a long period of

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identical provision for all before introducing any form of selection. “Entirely uniform
organizational arrangements do appear to be indeed socially less selective” (Duru-Bellat, 2003:
74).
ii. ZEPs
In the case of Educational Priority Zones, it seems more likely that France could learn from
Chile rather than the opposite. The results of the ZEP policy are mixed and while few studies
(Caille, 2001) explain that students in ZEPs have a better progression throughout the “college”,
numerous publications (Maurin, 2005; Benabou et al., 2004) conclude there are no significant
effects on the achievement of students in ZEPs. As mentioned in the first part of this paper, the
Chilean government has targeted its educational policies and programmes towards the most
disadvantaged population. Results highlighting the successes of these programmes (Garcia-
Huidobro, 2000; Arellano, 2001) are not disputed as they are in France. In addition,
Educational Priority Zones have been implemented in a specific context of great territorial
inequalities, partly linked to the waves of immigration post-WW2. For both reasons, the ZEP
policy does not seem transferable to the case of Chile.
iii. Persistence of social inequalities between different social classes
In the French system, educational outcomes seem to be less correlated to economics as they are
in Chile. However, there are social inequalities between students from distinct social
background. Almost all studies (Duru-Bellat, 2003; Thélot & Vallet, 2000; Duru-Bellat &
Kieffer, 2000; Education et formation, 2003; MENESR, 2005) related to the analysis of the
French educational system explain that there has been a quantitative democratization of
education in France but not a qualitative one. Depending on their social class, children benefit
from different social and cultural capital. Upper class pupils have parents who seem to know the
educational system very well and who have access to information relative to the best option
choices. In addition, they have more qualifications and are more able to help their children. On

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the contrary, disadvantaged children tend to lack cultural and social capital and their familial
structure and living conditions (sharing bedroom, no heating, noise etc) are detrimental to their
chances of educational success. As a result, working class children leave school earlier, repeat
more class, choose less ambitious subjects and have weaker perspectives of employment and
salaries (CERC, 2004).
This shows that even though the link between education and economic disparities is weakened
in France, there is a concern over social inequalities. This problem could be encountered by
Chile where social inequalities could deepen as economic disparities decrease. The case of
France is very useful in order to gain the knowledge that social inequalities need to be watched
out. Unfortunately, the country has not managed to solve the problem and therefore does not
offer a model of policies that might be applicable in Chile.
b. The key strengths of the French system that could be
transferable
i. Grants and voucher inversely to family income
The grants system in France could inspire Chile to reform its voucher system. The Chilean
government could provide more financial resources to poorer students. As students from lower
quintiles tend to be regrouped in similar municipal schools, an income related voucher would
bring more money to these schools. Besides, the poorest students could access better quality
schools with a voucher system inversely proportional to parents’ income. It is likely that private
schools would be more interested in accepting disadvantaged students as this would increase
their financial resources. This would “compensate for the higher challenge of educating poor
students” (Gonzalez et al., 2004: 19). The new voucher system could have benefits in term of
peer effects and improve the educational outcomes of disadvantaged pupils. In addition, Chile
could allocate grants based on parents’ income and merit. These grants could motivate students
from poorer quintiles to obtain better results.

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ii. School mix and control over ‘choice’
“Segregation between schools is less distinct in countries that have maintained rational
regulations to limit school autonomy and/or parental choice” (Duru-Bellat, 2003: 78). Social
mixing seems required in Chile. School mix would help increase schooling performance and
reduce inequalities between socio-economic groups. Moreover, the society as a whole could
benefit from social mixing as people from distinct milieu could understand each other better
(Hébrard, 2002).
The French system is not without problems and some schools in deprived areas only receive one
category of students. This highlights the need for Chile to realise a comprehensive study of town
planning in order to avoid this type of situation.
However, after a personal experience in the country, meeting and talking with different groups
of people from different backgrounds, it seems very difficult to suggest the replacement of the
voucher system by a school district system such as ‘la carte scolaire’. For decades, parents have
been able to choose and those benefiting from the current system would probably exercise their
dominance, power and influence to prevent such a reform.
iii. Higher education
French post-secondary education provides ideas to Chile in terms of access and finance as the
entry to higher education in France does not depend on financial resources or academic
excellence. The only main segregation of the French system relates to the access to the ‘Grandes
Ecoles’ (Albouy & Wanecq, 2003). However, this system does not exist in Chile and as a result
would not represent a potential threat. One of the solutions could be an increase of public
spending on higher education in order to reduce fees and/or increase financial help to all
tertiary institutions. This would reduce the influence of monetary factors and would therefore
benefit to poorer students. Although this recommendation seems difficult to implement in a
upper-middle-income economy, the Chilean government could study this possibility and

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attempt to find a financing scheme.
In addition, Chile could implement a proposal similar to the one related to affirmative action in
Science Po Paris. This could increase the access of under-privileged children to higher
education.
iv. Affirmative actions
Although Chile has showed competencies in using affirmative actions to fight against
inequalities, France offers some good examples that might be transferable. Chile could get
inspiration from “Sciences Po Paris” and implement a differentiated university admission test
for schools receiving the most disadvantaged population. The idea is to widen the access to
universities to poorer students. This policy would favour social mixing in higher education and
make students from disadvantaged socio-economic background realise that quality higher
education is possible. On the other side, new quintiles might be attracted to the municipal
secondary schools participating in the programme, increasing meanwhile social mixing and peer
effect.
c. Conclusions and potential for further research
i. The importance of taking into account the labour market
Structure of employment and needs of labour market are different in each country. One of the
major roles of education is the insertion on the labour market. For that reason, all decisions on
any reforms need to take into account the specificities and requirements of the labour market
(whether the economy needs many university graduates, people with a technical formation and
experience gained during their studies etc). Changes in the educational structure might induce

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devaluation of qualifications if the capacity of the economy to absorb jobs is limited (Duru-
Bellat, 2003). In addition, there is a need for technicians and qualified workers in Chile (Miguel,
2006; Bitar, 2003). As a result, the development of high quality technical studies and the effect
on reduction of economic disparities could represent a potential for further research.
ii. Societal problems and the need to implement comprehensive social policy
The analysis of the French educational system has linked problems in schools with societal
problems. In France, it seems that a lack of money is not the main reason explaining difficulties
in schools. Nowadays, problems seem to come from differentiated motivation and help in
children’s home. The child of a single mother who is not receiving great care and attention do
not tend to have the same rate of success. Moreover, a child with parents who are not very
educated cannot receive the same level of help. As a result, it seems important to implement
global social policy to support changes taking place in schools. For example, educative
programmes for adults and the reduction of social segregation in the residential environment
could be considered (Duru-Bellat, 2003). Here lies another potential for researchers; an analysis
of the needs for complementary social policies required in order to improve the effect of
education on income disparities in Chile.
iii. Transferability of policies and the role of model
“It is always a treacherous business to draw general lessons from the experiences of particular
countries” (Sheahan, 1997: 8). It seems also important to note here that one policy whose effects
are viewed as positive in one context may prove to be far less constructive in another because of
interactions with other policies (Duru-Bellat, 2003).
To conclude examining whether France could be used as a model for the Chilean educational
reform to reduce economic disparity has value because the findings help identify the positive
and negative aspects of a system and may help clarify alternatives for Chile. However, although

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much can be learnt from the French example, it does not signify that the country can be
considered entirely as an imitable model. While international comparisons are valuable, they
cannot claim for the universality of any one path and Chile needs to take into account its
particular specificities and the need to shape its own reforms.

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CONCLUSION
Although Chile has achieved great performances in terms of economic growth and poverty
reduction, ‘the Latin tiger’ remains a highly unequal society. Wealth is unevenly distributed and
great economic disparities subsist within the population. Education has several positive impacts
on economic and non-economic outcomes. There seems to be a significant link between
education, economic growth, reduction of inequalities and development. Thus, the reform of its
educational system could help Chile to pursue further its socio-economic development.
After going through a radical restructuring through top-down market-oriented reforms under
the Pinochet dictatorship, decentralisation, privatisation and the voucher system became the
main specificities of education in Chile. At the end of the 1980s, quality of education had not
improved as a whole and had worsened for the poorest. Although caught between the
continuation of a market-oriented system and the desire of a more equal structure, the
successive democratic governments implemented various reforms, often centred on affirmative
actions, to bring in quality and equity in the educational system. While these reforms had some
successes, the current Chilean education system still reinforces the unequal structure of the
society. A dual system is operating throughout the various educational levels from the access of
pre-school education until higher education. The current Chilean educational structure seems
to prevent disadvantaged population from drawing near labour market opportunities and
potential earnings expected by privileged students. The voucher and shared financing systems
regroup poorer children in under-performing schools where they receive lower quality
education. This difference of quality received by socio-economic groups results in inferior results
at the university entry examination for deprived students. Due to poor results, the access of
disadvantaged children to the 25 traditional universities, which are entitled to financial help
from the government, is greatly limited. In addition, accessing other tertiary institutions, which
do not allow for government monetary help, is often impossible for poorer students who lack
financial resources. As a result, richer students receive the best education and at the same time

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the greatest job opportunities and perspective of earnings considering the high returns rate of
higher education in Chile. On the other side, disadvantaged students remain caught in a
poverty trap whereby school does not permit their economic and social mobility.
It is especially valuable to note that the French case provides examples of where Chile should
take cautions in their reforms. Option choices and early streaming reinforce inequalities and
Chile should favour a long period of identical provision to avoid that better informed richer
families take advantage of the system. In addition, France has shown the risk of economic
disparities being replaced by social inequalities, whereby the unequal possession of cultural and
social capital induces segregation between students. On the other side, the French system shows
four key strengths that might be transferable. Chile might directly benefit from implementing a
voucher system inversely proportional to parents’ income, reducing financial barriers to higher
education, favouring social mixing and using certain affirmative actions to favour the access of
disadvantaged children to tertiary studies.
To conclude, the analysis of the French educational system, including its current features and
the various reforms implemented to reduce inequalities, proves very relevant both in its
strengths and weaknesses from which Chile can learn.

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