Contents -- Acknowledgments -- Acronyms and Abbreviations -- Executive Summary -- Introduction -- Context, Purpose, and General Approach -- Specific Focus, Conceptual Framework, and Methodological Approach -- Structure of the Report -- Chapter 1 Trends and Challenges in Latin American and East Asian Secondary Education -- Introduction -- Secondary Education Structure -- Provision of Secondary Education: Public and Private, Academic and Technical/Vocational -- Governance -- Secondary Education Coverage -- Internal Efficiency -- The Quality of Secondary Education -- The Validity of Access and Quality Trade-Offs -- Indicators of Educational Equity in Secondary Education -- Demand and Supply Constraints and Opportunities for Secondary Education -- Conclusion -- Chapter 2 Demand for Secondary Education in Latin America and East Asia -- Introduction -- Making Labor Markets Work for Young People -- Patterns in average labor market returns -- Trends in returns from and demand for secondary education -- Heterogeneity in returns and labor market distortions -- Increasing returns and school quality -- Uncertainty about future returns from education -- Information on Schools for Better Choices and Accountability -- Incentives to Alleviate Credit Constraints -- The role of credit constraints -- Policies to alleviate credit constraints -- Incentives to Address Competing Options -- Incentives to alter the choice between school and work -- Changing the relative price of schooling options: School vouchers -- Conclusion -- Chapter 3 Secondary Education Finance in Latin America and East Asia: Challenges and Opportunities in the Next Decade -- Introduction -- The State of the Secondary Education Sector: Demographic and Economic Trends, Enrollments, and Current Finances -- Demographic trends, economic factors, and enrollment rates -- Sources of finance.

Per pupil expenditures at the secondary level and the relative importance of secondary education -- What Is the Fiscal Gap? What Will It Be in 10 Years? -- Static estimates: The financial gap in 2003 -- Cost of quality (and demand-side interventions) -- Forward-looking estimates (2003-15) -- Mobilizing New Resources for Secondary Education: What Are the Options? -- The public sector: Increase public secondary education expenditures -- Encourage/allow for additional private funds for secondary education -- Seek an increase in international donor contribution at the secondary level -- Summing It Up: What Are the Shared Characteristics among Countries That Have Successfully Expanded Their Secondary Educatio -- Chapter 4 Measuring and Improving Efficiency of Secondary Education in Latin America and East Asia -- Introduction -- Efficiency/Production Frontier Analysis -- What do we mean by efficiency? -- Main results -- Efficiency Constraints and Efficiency-Enhancing Interventions -- Impact of expenditure allocation -- Pedagogical and curricular practices -- Management practices -- Improvements in internal efficiency -- Conclusions -- Annex 1.1 Structure of Secondary Education -- Annex 1.2 Share of Total Secondary Enrollment Attending Private Schools (2002 data) -- Annex 1.3 Share of Secondary Total Enrollment Attending Technical and Vocational Schools -- Annex 1.4 Secondary School Enrollment Statistics, 2002-03 -- Annex 1.5 Enrollment by Age and Sex -- Annex 1.6 Completion Graphs for Children Ages 13-19 -- Annex 3.1 Sources of Finance: Secondary Education, School Year 2002-03 -- Annex 3.2 Domestic per Pupil Expenditure at the Secondary Level, Measured in PPP and as % of GDP per Capita, 2003 -- Annex 3.3 Discussion of the Methodology -- Annex 3.4 Fiscal Gap Estimates for Various GER2 Targets.

Annex 4.1 School Confidence Intervals Estimates-Output Efficiency-PISA 2000 -- Annex 4.2 Budget Data -- Annex 4.3 Annual Recurrent Cost of Repetition in LAC and EAP, 2000 -- References -- Index -- Tables -- ES.1 Estimated Expenditure Need at GER2 = 85% and Expenditure per Students as a Percent of GDP = 26% -- ES.2 Static Categorization of Countries by Enrollment and Measures of Education Quality -- ES.3 Priorities and Policies of Countries That Have Addressed or Are Addressing Trade-Offs -- ES.4 Policy Alternatives by Constraint, Challenges, Income Level, and Region -- ES.5 Typology of Public-Private Partnerships in East Asia and Latin America -- 1.1 World Bank Categorization of East Asian and Latin American Countries by Income Group as Used in This Report -- 1.2 Characteristics of Private Secondary Schools in PISA-Participating Latin American and East Asian Countries -- 1.3 Locus of Key Decisions in Lower Secondary Education in Select East Asian Countries in 2003 -- 1.4 Locus of Decision Making in Lower Secondary Education in Select Latin American Countries, 2000s -- 1.5 Static Categorization of Countries by Enrollment and Measures of Education Quality -- 1.6 East Asian and Latin American Countries Vary in Degree of Inequality -- 1.7 Countries Characterized by Gender Inequity -- 1.8 Countries Characterized by Main Type of Inequity -- 1.9 Inequity Trends across Time -- 1.10 Countries Characterized by Whether Children Exit the School System within or between Cycles -- 2.1 Average Returns and Years of Schooling of Adult Wage Earners, by Sex -- 2.2 Stock of Education among the Adult Working Population -- 2.3 Pattern of Returns by Public-Private Employment, Males -- 2.4 Share of Education Costs from Total per Capita Household Expenditures -- 2.5 Possible Demand-Side Policy Instruments to Alleviate Constraints.

3.1 Latin American and Caribbean and East Asian and Pacific Developing Countries Grouped by GER2: Enrollment Trends and Econo -- 3.2 Total Education Expenditure at Secondary Level as Percent of GDP in Selected Countries, by Sources of Funding, 2003 -- 3.3 Public Primary and Secondary School Teacher Salaries, Selected Countries (2001) -- 3.4 Observed Parameters of the Model -- 3.5 2003 Estimated Fiscal Gap, with Current Cost Structures (target GER2 = 85%) -- 3.6 2003 Estimated Fiscal Gap, with OECD Unit Costs (target GER2 = 85%) -- 3.7 Average Change in School-Age Cohort and Total Population, 2003-15 -- 3.8 Estimated Expenditure Need at GER2 = 85% and c2015 = 26% -- 3.9 Ancillary Services at Secondary Level, 2005: Selected Countries of East Asia and the Pacific and Latin America and the Caribbean -- 3.10 Demand-Side Financing Schemes from Latin America and the Caribbean and East Asia and the Pacific -- 3.11 Composition of Bilateral Education Assistance, Two-Year Averages for 2001-02 -- 3.12 Possibility of Acute Funding Shortages for Secondary Education -- 4.1 Mean Input, Output Level for the Most Output- Efficient Schools and Comparison with Other Schools (East Asian and Pacific and Latin American and Caribbean countries)-PISA 2000 -- 4.2 Comparison of Mean Efficiency Scores across General/Technical Schools-PISA 2003 -- 4.3 Comparison of Output Efficiency by Use of Evaluation -- 4.4 Some of the Major Existing Alternative Secondary Models in Latin America and the Caribbean and East Asia -- 4.5 Comparison of Mean Output Efficiency Scores across Public and Private Management -- 4.6 Comparison of Mean Output Efficiency Scores across Autonomy Categories -- 4.7 Multivariate Results on Selected Latin American and Caribbean and East Asian and Pacific Countries-PISA 2000 -- A1.1 Structure of Primary and Secondary Education in Latin America.

A1.2 Structure of Primary and Secondary Education Structure in East Asia -- Figures -- ES.1 Trend Line of PISA Test Scores against Log GDP per Capita for East Asian and Latin American Countries -- ES.2 Performance and Inequality in PISA Scores (Math) -- ES.3 Estimated Graduation Rates for Children Aged 13-19 -- ES.4 Returns to One More Year of Education by Quintile in Selected LAC Countries -- ES.5 Secondary per Pupil Expenditures (PPP),as percent of per Capita Income, 2002-03 School Year -- ES.6 Output Efficiency (in Terms of Academic Performance) in Selected EAP and LAC Countries -PISA 2000 -- ES.7 Reducing Fiscal Gaps through Additional Resources and Efficiency Gains -- ES.8 Dynamic Categorization of Countries by Progress since the Mid-1990s in Enrollment and Measures of Quality -- ES.9 Closing the Gap with Public Resources -- ES.10 Closing the Gap with Private Resources -- ES.11 Output Efficiency Scores by Public and Private Management -- 1.1. Influence of Regional and National Decision Making in Staffing, Budgeting, Content, and Assessment Related Decisions -- 1.2. Responsibility of School-Level Actors for Decisions on Hiring Teachers -- 1.3. Responsibility of School-Level Actors for Decisions on Budget Allocation -- 1.4. Responsibility of School-Level Actors for Decisions on Course Content -- 1.5. 2002-03 Secondary Gross and Net Enrollment and Annual Average Rate of Change -- 1.6 (a) Secondary Gross Enrollment Trends across Time and (b) Lower Secondary School Completion Rates in 1997 -- 1.7. Secondary Gross Enrollment: Much of Latin America and East Asia Is Low Given National Income -- 1.8. Primary Gross Enrollment Rates by Log per Capita GDP -- 1.9. Enrollment by Age and Quintile in Two East Asian Countries: (a) Indonesia and (b) Cambodia -- 1.10. Enrollment by Age and Quintile in Two Latin American Countries: (a) Mexico and (b) Colombia.

1.11 Estimated Completion Rates for Children Aged 13 to 19: (a) Argentina 2003, (b) Thailand 2002, and (c) Vietnam 2002.