The Department of Education operates a wide range of subsidy programs for elementary and secondary schools. The aid and all the related federal regulations have not generally lifted academic achievement. The department also provides subsidies to higher education through student loans and grants. Unfortunately, that aid has fueled inflation in college tuition and is subject to widespread abuse.
The department will spend about $98 billion in 2012, or $830 for every U.S. household. It employs 4,300 workers and operates 153 different subsidy programs.
Spending Cuts Summary
- Here are proposed spending cuts to the department, which should be closed down.
Downsize This!
- K-12 Education Subsidies. Federal intervention into the nation’s schools has consumed great deals of taxpayer money and created large bureaucracies to administer the funding and regulations. However, it has produced little, if any, improvement in academic results.
- Higher Education Subsidies. Federal grants and loans for college and university students have contributed to soaring inflation in tuition costs. Student grant and loan programs have also been subject to high levels of fraud and abuse.
Timeline of Government Growth
- See this timeline for key events in the department’s growth.
Reading Room
- Here are background studies that examine the department’s activities.
Cato Experts
- Andrew Coulson, Director, Center for Educational Freedom
- Neal McCluskey, Associate Director, Center for Educational Freedom
- Adam Schaeffer, Education Policy Analyst



