Cost-Effectiveness Research

Given the competing demands on education budgets at the federal, state, and local levels, it is important to address literacy learning in cost-effective ways. To date, however, no cost-effective analysis comparing alternative early literacy interventions has been conducted (for example, small-group instruction with one-to-one instruction).

In Reading Recovery, the long-term benefits of literacy achievement may significantly outweigh the short-term cost of instruction and teacher preparation. By intervening early, Reading Recovery reduces referrals and placements in special education, limits retention, and has lasting effects. The local cost of providing Reading Recovery services for 12 to 20 weeks will be substantially less than those for retention and special education, particularly when the majority of Reading Recovery children sustain their learning gains.

These articles include three types of analysis:

1. theoretical issues in cost-effectiveness analysis (Ashdowne & Hummel-Rossi) as well as practical methodology to measure cost in a Reading Recovery school (Gómez-Bellengé).
2. relative costs of Reading Recovery versus special education and retention calculated by school districts (Assad & Condon) and (Lyons & Beaver), and
3. long-term educational and societal costs of literacy difficulties over 31 years. This study, by KPMG, calculates the cost of literacy difficulties in England and Wales and projects cost savings that could be achieved by expanding Reading Recovery.

The long term costs of literacy difficulties. KPMG Foundation (2006, December).

Demonstrating the Cost Effectiveness of Reading Recovery: Because It Makes a Difference. S. Assad & M.A. Condon (1996, Winter). Network News, 10-14.

Reducing Retention and Learning Disability Placement Through Reading Recovery: An Educationally Sound Cost-Effective Choice. C.A. Lyons & J. Beaver. (1995). In R. Allington & S. Walmsley (Eds.), No quick fix: Rethinking literacy programs in America's elementary schools (pp. 116-136).

What is Cost-Effectiveness Analysis? J. Ashdowne & B. Hummel-Rossi. (2002). The Journal of Reading Recovery, 2(1), 44-46.

Measuring the Cost of Reading Recovery: A Practical Approach. F.X. Gómez-Bellengé. (2002). The Journal of Reading Recovery, 2(1), 47-54.

2005-06 National Data Preview: Measuring the Impact of Reading Recovery. F.X. Gómez-Bellengé. (2007). The Journal of Reading Recovery, 6(2), 53-56.

Some information in this section first appeared in What Evidence Says About Reading Recovery. (2002). Columbus, OH: Reading Recovery Council of North America.