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How dare The Ohio Virtual Academy do a better job for less cost?

Joseph at Plunderbund sure does have a problem with a charter school making a profit and (*gasp*) paying its teachers less than teachers at public schools.

The education of our state’s children in the hands of a for-profit corporation- obligated NOT to the best interests of OUR CHILDREN but the best interests of THEIR STOCKHOLDERS!
This means the company’s primary goal is to make money- not to educate our kids. And they do this by spending less money on students and by paying their teachers…

Socialists like Joseph can be so stubbornly ignorant. If the facts don’t fit their preferred narrative (“Powerful teachers’ unions and huge education expenditures make for better educated kids!”), they throw temper tantrums about mean corporate interests and their dirty-greedy-money-grubbing-child-hating-wingnut-fascist shareholders.
Allow me to outline the profit motive for Joseph in simple terms, because he obviously hasn’t got a clue about this. To serve its shareholders the school must maximize profits. It does this by maximizing revenue and minimizing expenses. Here’s how that works.

  • To maximize revenue (tuition) the school must keep its customers happy.
  • Its customers are happy when the quality of their children’s education exceeds that available in the public schools.
  • If the school charges more for an education than the parents think it’s worth, they’ll pull their kids out.
  • Therefore the school has an incentive to provide a better education than the public schools offer, and at a reasonable price.


  • To minimize expenses, the school will try to reduce overhead and operate efficiently.
  • Among other methods, the school will pay its teachers lower starting salaries than they’d get in a public school.
  • Since teachers are free to seek employment elsewhere, the school must find other ways to make its teaching positions attractive.
  • Apparently the school has found a way to attract teachers with more than just base salary. Perhaps it’s less red tape, a safer and more disciplined classroom environment, merit pay, or some combination of the above.
  • If the school cuts salaries too far, the teachers will leave.
  • Therefore the school has an incentive to treat its teachers well.

Boy, this free market stuff is tricky. Competition sure isn’t neat and orderly, like the typical centrally-planned economy.