KEDI Journal of Educational Policy Vol.1 No.

1 2004 5-24

Analyzing the Effects of the High School

Equalization Policy and the College Entrance
System on Private Tutoring Expenditure
in Korea

Hyunjin Kim
Korean Educational Development Institute

Abstract

The purpose of this study is to analyze the effects of the high school equalization policy
and the college entrance system on private tutoring expenditure in Korea. For this analysis,
‘SES,’ ‘region,’ ‘father’s education level,’ ‘mother’s education level,’ and ‘high school
equalization policy’ are referred to as independent variables. ‘Schooling dissatisfaction’ and
‘college entrance system’ are referred to as intermediate variables. ‘Private tutoring
expenditure’ is referred to as a dependent variable.
The sample used in this study consisted of 833 parents of general high school students.
SPSS and AMOS statistical software were used to analyze the data. The covariance
structure modeling method was applied when analyzing the relations among measured
independent variables, latent intermediate variables, and the measured dependent variable.
Neither the high school equalization policy nor the college entrance system was proven
to have a significant effect on private tutoring expenditure. The results, however, were not
conclusive. On the other hand, the background variables ‘SES,’ ‘region,’ and ‘mother’s
education level’ and the intermediate variable ‘schooling dissatisfaction’ did prove to have a
statistically significant effect on private tutoring expenditure.

Key words: private tutoring, high school equalization policy, college entrance system,
schooling dissatisfaction, background variables, covariance structure modeling

KEDI Journal of Educational Policy－ISSN 1739－4341－ⓒ Korean Educational Development Institute 2004
Electronic version: http://eng.kedi.re.kr

Corresponding author: Email: hjkim@kedi.re.kr, Address: Planning and Coordination Team, Planning Division, Korean
Educational Development Institute, 92-6, Umyeon-dong, Seocho-gu, Seoul, Korea
Hyunjin Kim

1. Introduction
1.1 Research Background

One of the hottest issues in Korea is the transition process from secondary education to
higher education. High school students must undergo severe competition to gain entrance to
prestigious colleges and universities. They believe that enrollment in a top-notch institution is
their best chance to succeed in Korean society (Kim, 2003a). In Korea, most parents believe that
educating their children is their most important responsibility. Because of this, they are willing to
endure any amount of suffering in order to provide their children with an excellent education
and various educational aids, including private tutoring. Parents devote their time to helping
their children with their homework, hiring private tutors, and registering their children in private
institutions (Weidman & Park, 2000).
On the day of the national college entrance exam, the College Scholastic Ability Test (CSAT),
parents are often seen in front of the school where their children are assigned to take the test,
praying for their children to score high on the exam. A high score on the test is crucial to
entering a top-tier college. In Korea, attending a prestigious college or university is so important
that many Korean parents sacrifice their lives in order to ensure that it will happen for their
children.
With regards to the college admissions process, private tutoring has prospered by providing
students with additional preparation for the CSAT and high school exams. Not only many
private companies but also many individual private tutors, such as college students and
professional private tutors, serve high school students.
The prosperity of private tutoring endangers public education and distorts students’ ability to
learn by encouraging rote memorization specifically for test preparation. Because private
tutoring is more available to students whose parents can afford the services, it also elevates
educational inequality among groups from different socio-economic status levels.
The prosperity of private tutoring in Korea has been attributed to the following reasons:
ineffective and unsatisfactory teaching and learning practices in public education, inappropriate
aspects of the current education system (such as the high school equalization policy and the
college entrance system), the anxiety and competitive eagerness of parentsi, and socio-cultural
factors that have made entering prestigious colleges and universities one of the most important
life goals for Korean students (Lee, Choi, Kim, et al., 2003).
In the late 1960s, students in Korean primary schools paid for private tutoring because of the
severe competition to enter highly recognized middle schools. To alleviate the competitive
climate of primary education, the government adopted the ‘No Entrance Examination System
for Middle School Admission’ stance in 1969. Without an entrance examination for middle
school, competition among students was pushed to the next level; entrance into high schools
became the focus. To deal with the problem of intensified competition to enter prestigious high

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 Analyzing the Effects of the High School Equalization Policy and the College Entrance System on Private Tutoring Expenditure in Korea

schools, the ‘High School Equalization Policy (Lottery and Allocation System)’ was launched in
1974 (Kim et al., 1978).
As a result, academic competition was pushed to a higher education level. The high school
equalization policy contributed to cutting down private tutoring expenditure on middle school
students. However, it is criticized for having caused heterogeneity in classes and for grouping
together students of different learning levels, which reduced the effectiveness of teaching and
resulted in the increase of private tutoring expenditure on high school students (Lee & Hong,
2001).
In 1980, the Korean government initiated the 7.30 Reform. Under this educational reform,
the government banned private tutoring practices. Students were instead encouraged to attend
supplementary classes offered through television and after-school programs. It wasn’t until 2000
that the policy was judged to be unconstitutional and that private tutoring was made legally
acceptable.
The Korean government has been under social and political pressure to solve problems
aroused by private tutoring. Consequently, the government has been continuously seeking ways
to solve these problems.
On Feb. 17, 2004, the Ministry of Education and Human Resources Development formulated
policy measuresii to address private tutoring issues and the overall ineffectiveness of the K-12
school system. The policy was entitled “The Policy for Reduction of Private Tutoring
Expenditure through the Restoration of the Public Education System”. The 2.17 Education
Reform measures seek to reduce the burden of private tutoring expenditure by raising society’s
level of satisfaction with public education and by renovating problematic aspects of the current
education system, such as the high school equalization policy and the process of college
admissions (Kim & Choi, 2004).
However, to formulate effective policy measures, it is necessary to prove whether or not these
policy measures are substantially related to and/or will have effects on private tutoring
expenditure.

1.2 Research Questions

The purpose of this study is to explore how the high school equalization policy and the
college entrance system affect the amount that Korean parents of high school students spend on
private tutoring, while also examining the background variables related to private tutoring
expenditure.
The high school equalization policy has been criticized for causing an increase in public
dissatisfaction with schools because of its allocation of academically heterogeneous students into
the same classes. Such random allocation is thought to be the root of ineffective class
instruction and the dependence of high school students on private tutoring.
The current college entrance system iii relies heavily on quantitative records such as high

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Hyunjin Kim

school exams and CSAT scores and has been criticized for pushing high school students into
the market to buy test-taking skills.
The specific research questions of this study are as follows:

(1) Does the high school equalization policy have a direct effect on private tutoring expenditure?
(2) Does the high school equalization policy indirectly affect private tutoring expenditure by
causing schooling dissatisfaction?
(3) Does schooling dissatisfaction have a direct effect on private tutoring expenditure?
(4) Does the college entrance system have a direct effect on private tutoring expenditure?
(5) Do the background variables; SES, region, father’s education level, and mother’s education
level, have direct effects on private tutoring expenditure?
(6) Which variable has the strongest relationship with private tutoring expenditure?

2. Theoretical Background

2.1 Private Tutoring

Paying for private tutoring is one of the heaviest economic burdens for Korean parents.
Consequently, the government has been under social and political pressure to reduce private
tutoring expenditure (Kim, 2004a).
In 2003, 83.1 % of primary school students, 75.3 % of middle school students, and 56.4 % of
general high school students were receiving private tutoring. Around 13.6 trillion Won
(approximately $12 billion) is spent annually on private tutoring for primary, middle, and general
high school students in Korea (Choi et al., 2003).
The monthly average cost of private tutoring is 210,000 won for primary school students,
276,000 won for middle school students and 299,000 won for general high school students.
The following table presents the proportion of participating students in private tutoring and
the average amount of private tutoring expenditure per month.

Table 1. Participating proportion and monthly average amount of private tutoring expenditure

Participating Proportion In Korean Won

Elementary School Students 83.1% 210,000
Middle School Students 75.3% 276,000
General High School Students 56.4% 299,000
Source: Choi et al. (2003).

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 Analyzing the Effects of the High School Equalization Policy and the College Entrance System on Private Tutoring Expenditure in Korea

There are three major forms of private tutoring practices. First, individual or group tutoring
for students; second, private instruction provided by a private, for-profit learning institution; and
third, tutoring services that deliver and grade self-study sheets by mail or the internet (Choi et al.,
2003).
Education policy makers recognized several problems stemming from private tutoring
practices and severe competition among students (Lee, Choi, Kim, et al., 2003). First, Korean
school education is excessively geared towards exam preparation. Therefore, promoting
authentic achievement is almost impossible. Second, a substantial amount of household
expenditureiv is spent on private tutoring to prepare children for exams. Third, the heavy stress
of preparing for the entrance exam hinders the physical as well as the psychological
development of students. Fourth, students and their parents are obsessed with the most
prestigious colleges and universities. Many students who fail to get into their desired college or
university choose not to go to college at all and instead attend for-profit private tutoring
institutions to prepare for next year’s college entrance exam so that they can try again for their
dream school.

2.2 The High School Equalization Policy

The expansionv of elementary schooling created a strong surgevi in the demand for secondary
education in the 1960s. Until the late 1960s, each public and private middle school could choose
its students through a competitive entrance examination (Ministry of Education and Human
Resources Development, 2003). The schools’ freedom to choose their own students created
well-established rankings among middle schools. Consequently, fierce competition for better
middle schools emerged. Many elementary students repeated the sixth grade to prepare for the
next year’s middle school examination. People called it “entrance examination hell.”
Education policy makers recognized the many problems arising from such fierce competition.
The Park Administration’s answer to these problems was the middle school equalization policy.
Under this policy, the competitive entrance examination was replaced by the random allocation
of students through lottery. The middle school equalization policy was first carried out in 1969
for Seoul, 1970 for other major cities, and 1971 for the rest of the country (Ministry of
Education and Human Resources Development, 2003).
The stated objectives of the middle school equalization policy were: 1) to promote the normal
development of childrenvii; 2) to prevent primary school education from focusing on preparation
for middle school entrance examination; 3) to discourage private tutoring practices; 4) to narrow
the gap among middle schoolsviii; and 5) to reduce the burden on households created by the
middle school entrance exam.
Although the policy eliminated competition and private tutoring practices for entering
prestigious middle schools, competition to enter the best high schools continued. Lee and Hong
(2001) criticized the policy, in spite of its prevention of elementary school students’ dependence

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Hyunjin Kim

on private tutoring practices, for providing middle school students with a reason to take even
more private tutoring lessons. Because of the equalization policy, the quality difference among
student learning levels within each school became much greater than before. As students’
academic preparation levels differed greatly, teachers were forced to adjust their teaching
methods to accommodate average students. This situation was particularly bad for high
achieving students who hoped to get into elite high schools. To prepare for the high school
entrance examination, middle school students relied on private tutoring.
The “entrance examination hell” moved to the pre-high school level ix . The government’s
answer to these problems was the high school equalization policyx. The high school equalization
policy was first adopted by Seoul and Pusan in 1974 and gradually expanded to several major
cities (Ministry of Education and Human Resources Development, 2003). As of 2003, 72% of
general high school students are subject to the high school equalization policy. Major
metropolitan cities are required to adopt the policy, but smaller cities and rural school districts
are allowed to choose whether to do so.
The government stated the following high school equalization policy objectives: 1) to
normalize middle school education; 2) to reduce the quality differences among high schools; 3)
to promote vocational education xi ; 4) to promote balanced educational development across
regions; 5) to reduce private tutoring; and 6) to reduce the urban concentration of high school
studentsxii.
The high school equalization policy is evaluated positively because it achieved its stated
objectives. However, the policy is criticized for limiting schools’ rights to choose their own
students, rendering teaching less effective, increasing high school students’ private tutoring
expenditure in preparation for college entrance examinations, limiting school autonomy
(especially that of private high schools), not providing room for educational diversity,
eradicating competition, and not sufficiently meeting the needs of students and parents (Kim &
Choi, 2004). This study focuses on investigating the relationship between the high school
equalization policy and private tutoring expenditure.
By equalizing middle schools (1969), the government tried to reduce elementary students’
dependence on private tutoring, and by equalizing high schools (1974) it tried to do the same for
middle school students. However, the lack of competitive high school entrance examinations
allowed more students to advance to high schools than ever before. Thus, the “entrance
examination hell” and private tutoring participation simply moved to the pre-college and
university admission level.
Under the equalization policy, students are allocated to a particular high school by a lottery
system. Despite students’ different learning levels, teachers tend to use uniform, lecture-oriented,
test-oriented instruction. Teachers are unable to adjust their methods of instruction to
accommodate the individual learning levels of each student because, thanks to the equalization
policy, every class has become a hodgepodge of academic ability. People allege that the high
school equalization policy has driven students to venture into the private tutoring market.

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 Analyzing the Effects of the High School Equalization Policy and the College Entrance System on Private Tutoring Expenditure in Korea

Schools and teachers no longer effectively teach students since the academic backgrounds of
students in a typical high school class are now so diverse.
In the 2.17 Educational Reform, the government intends to modify the high school
equalization policy in an attempt to reduce spending on private tutoring. This study explores the
relationship between the high school equalization policy and private tutoring expenditure,
whether the high school equalization policy has a direct influence on private tutoring
expenditure, and whether the policy indirectly influences such expenditure due to the schooling
dissatisfaction caused by the grouping together of heterogeneous students.

2.3 The College Entrance System

In Korea, the college admissions policy xiii has been affected considerably by social and
political changes. Korean parents have an extreme desire for their children to receive higher
education, especially from a prestigious college or university. Therefore, issues relating to college
admissions policies easily attract public concern and this fact may explain why so many changes
are constantly occurring in the college entrance process.
Historical changes made on the criteria used to determine college admissions are summarized
in the following table.

Table 2. Historical Changes Made on the College Entrance System in Korea

Period National College Exam by High School

Entrance Exam Individual Colleges Records
1945-1953 X O X
1954 O O X
1955-1961 X O X
1962 O X X
1963 O O X
1964-1968 X O X
1969-1980 O O X
1981-1985 O X O
1986-1993 O O O
1994-present O1 O O
1 The College Scholastic Ability Test (CSAT) has been utilized since 1994. Prior to the CSAT, the Korean college
entrance system consistently used an academic achievement test (based on specific subject matter) instead of
an academic aptitude test (based on more general knowledge). The CSAT is designed to measure whether
applicants have a general academic aptitude required for higher education.

Some areas of the college entrance system that have changed frequently are the locus of

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Hyunjin Kim

management responsibility (colleges vs. the government vs. high schools), admissions criteria
(national standardized tests vs. high school records vs. tests administered by individual colleges),
test formats (multiple choice vs. essay writing vs. oral exams), and application procedures (exam
followed by application vs. application followed by exam and offering multiple chances vs.
offering a single chance) (Weidman & Park, 2000).
Over the years, the Korean government has tended to increase its control over the student
selection process. However, since the late 1980s, higher education institutions have recovered
autonomy in selecting students. High schools have played an increasingly important role in this
process because student records have been used as criterion for admission since 1981 (Kim,
2003b).
The following table shows the exterior proportionxiv of how much Korean colleges depended
on high school records to make admissions decisions during the regular-termxv recruit for the
2005 school year.

Table 3. Exterior Proportion of High School Student Record Significance in Admissions Decisions for
the 2005 School Year (Regular-Term Recruit)

Proportion 100% 70%∼99% 60%∼69% 50%∼59% 40%∼49% 30%∼39% less than 30%
Number of
Colleges and 5 1 4 31 110 40 12
Universities
Source: KCUE. (2004).

At 110 colleges and universities, high school records account for 40% ~ 49% of the student
selection process. High school records are the sole deciding admissions factor at a total of five
colleges and universities. Currently, high school records are important to entrance to colleges
and universities.
Nonetheless, the college entrance system places more emphasis on the nationally
administered CSAT instead of on other criteria, such as recommendations from high school
principals and teachers, extracurricular activities, etc. This is based on the assumption that a
government-applied examination is the only objective and reliable form of evaluation. Because
the transition from high school to college is so competitive, Korean society does not willingly
accept admissions assessments based on criteria more subjective than national test scores (Kim,
2003a).
The following table presents the proportion of how much of a role CSAT scores played in the
college admission process for the 2005 school year.

Table 4. Proportion of CSAT Score Significance in Admissions Decisions for the 2005 School Year
(Regular-Term Recruit)

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 Analyzing the Effects of the High School Equalization Policy and the College Entrance System on Private Tutoring Expenditure in Korea

Proportion 100% 80%~ 99% 70%~ 79% 60%~ 69% 50%~ 59% 30%~ 49% less than 30%
Number of
Colleges and 34 7 30 88 48 26 11
Universities
Source: KCUE. (2004).

CSAT scores account for 60% ~ 69% of the student admission process at 88 colleges and
universities and are the sole criterion for admission at 34 colleges and universities. The CSAT
score is considered the most important credential for admission into a higher education
institution.
The CSAT was adopted in 1994 and was originally intended to encourage high-level thinking
abilities in students as opposed to fragmented short-term memorization. It is possible to assert
that teaching and learning methods in high schools have improved somewhat in accordance
with the original CSAT goals. Teachers and students are realizing that cramming fragmented
information into instruction is no longer a viable method of study. However, the CSAT
encourages a different kind of memorization because it is made up of multiple-choice questions
that offer five answer options. Consequently, students are intent on learning test-taking skills
that will ensure their ability to solve these multiple-choice questions in a limited amount of time.
One of the best tactics to do so is to memorize the CSAT question types and solution methods.
To learn these tactics and test-taking skills, many students take courses at private tutoring
institutions and/or hire their own personal private tutors.
Since the 2002 College Entrance System Improvement Proposal was announced in 1998, the
number of students admitted through the special selection process has increased by more than
30%. The following figure represents the proportion changes of the special selection quota.

Proportion(%)
40%

36.6% 36.6%
30% 32.7%
32.3%

20% 23.4%
21.5%
18.7%
16.3%
10%

0%
1998
1998 1999
1999 2000
2000 2001
2001 2002
2002 2003
2003 2004
2004 2005
2005
YearYear

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Hyunjin Kim

Figure 1. Changes of Special Selection Proportion by Year

The categories for the special selection process also increased from 45 in 1998 to about 200 in
2005, reflecting the universities’ efforts to mobilize diverse channels of selecting students. In
addition to the traditional categories of athletics, arts, music, languages, math, and science, new
fields including computers, fashion design, broadcasting, and cinema have been added to the list.
Elected student representatives, students with outstanding records, company employees, and
late learners also qualify for special selection. In addition, students from rural areas, students
who are heads of households, the socially oppressed, and special education students also qualify
(Kim, 2003b).
The special selection process has become a means of selecting talented students based on
diverse selection criteria, including extracurricular activities, awards and certifications,
recommendation letters, self-introduction essays, academic proposals, essay tests, and in-depth
interviews. Even though the changes are not tremendous, they are occurring in high school
classrooms where discussion and self-exploration are encouraged over rote memorization.
However, because most students still consider the objective test score to be the most
important factor in selecting students, school life remains focused on college entrance exam
preparation. Further, most high schools do not encourage diverse activities. The pressure to
prepare for academics causes students and teachers in most schools to neglect extracurricular
activities. Though colleges have begun to take qualitative information on students like
extracurricular activities into consideration, such areas still do not play a critical role in the
selection process (Kim, 2003a).
In a country where colleges and universities are ranked so definitively and entering the most
prestigious institution is the ultimate dream, high school students are only interested in getting
high scores on the CSAT and on their high school exams. Accordingly, students prefer learning
test-taking skills to promoting authentic achievement through deep understanding of subjects.
As stated, the college entrance system still gives importance to standardized test scores, which
drives students to rely on private tutoringxvi for test-taking skills. In the 2.17 Education Reform,
the Ministry of Education and Human Resources Development declared their plan to develop
an innovative college entrance system by the year 2008. In order to reduce private tutoring
expenditure, high school records (not just school exam scores but also various information on
students) will be more substantially considered in the selection process than they are now.
Students’ learning activities and diverse experiences during their school years will be
systematically recorded in a portfolio for colleges to use in selecting students based on
qualitative information.

3. Data Analysis and Results

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3.1 Subjects and Variables

The data from ‘Analyzing the Reality and Expense of Private Tutoring in Korea’ by Choi, et
al (2003) is reexamined in this study. A self-administered survey questionnaire was developed to
provide data on background variables, schooling dissatisfaction, the college entrance system, and
the average amount of monthly private tutoring expenditure. This study restricted the subject
pool to parents of general high school students. Eight hundred thirty-three subjects were
sampled: 608 subjects from schools that follow the high school equalization policy, and 225
subjects from schools that do not follow the policy.
In this study, the testable model consisted of independent variables, intermediating variables,
and a final dependent variable. Among the independent variables were the high school
equalization policy (which functions as a dummy variable), SES (measured by monthly income),
the region variable (measured by the urbanization level of a particular residence area), father’s
education level, and mother’s education level. The intermediating variables are referred to as two
latent variables: the schooling dissatisfaction variable (measured by parental perception of
difficulty in understanding, ineffectiveness of teaching, and lack of individualized teaching), and
the college entrance system variable (measured by two factors: 1) how much importance parents
place on overall quantitative scores as opposed to qualitative achievements, and 2) how much
parents believe the college admissions process demands that high school records and CSAT
scores reflect a well-rounded education in each subject area). The final dependent variable refers
to the average amount of monthly private tutoring expenditure by parents of general high school
students.
An analysisxvii of the covariance structure, i.e. the method of path analysis with latent variables,
was applied to complete the purpose of this study in the following section. For descriptive data
analysis, SPSS 10.0 was used. AMOS 4.0 was used to test the model and the multidirectional
relationship. Type I error rates of the chi-square test for model-data-fit and of the t-test for path
coefficients are set at .05 in this study.
Specific descriptions and the scales of the variables are presented in Table 5.

3.2 Covariance Structure Modeling Analysis

The primary purpose of testing the hypothesized model is to determine whether the high
school equalization policy variable and the college entrance system variable affect parents’
expenditure on private tutoring while statistically controlling other related variables as constants.
This study is primarily concerned with three path coefficients: the direct path from the high
school equalization policy to private tutoring expenditure, the indirect path from the high school
equalization policy to schooling dissatisfaction to private tutoring expenditure, and the direct
path from the college entrance system to private tutoring expenditure.

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Hyunjin Kim

This empirically testable model consists of structural and measurement portions. The
structural component represents the relationships among the constructs: background variables,
intermediating variables, and the dependent variable. The measurement portion represents the
indicator variables selected to measure the latent intermediate variables. Circles represent latent
variables, and rectangles represent measured variables. The absence of a line connecting any
variables infers that the hypothesized direct effect does not exist. The following figure presents
an empirically testable model with unstandardized path coefficients.

Table 5. Descriptions and Scales of Variables

Variables Description Scales

High school
High school 1=non-equalization policy
equalization
entrance method 2=equalization policy
policy
1= less than 1, 000 thousand won,
2= more than 1,000 – less than 1,990 thousand won,
3= more than 2,000 – less than 2,990 thousand won,
SES Monthly income
4= more than 3,000 – less than 3,990 thousand won,
5= more than 4,000 – less than 4,990 thousand won,
6= more than 5,000 thousand won
Independent 1= Rural, 2= Middle size city, 3= Megalopolis,
Variable Urbanization level 4= Seoul municipality except Gangnam,
Regionxviii
of residence area 5= Metropolitan area,
6= Seoul municipality Gangnam Area
Father’s 1= elementary school, 2= middle school, 3= high
Father’s education
education school, 4= 2-year college, 5= 4-year college, 6=
level
level master degree, 7= doctoral degree

Mother’s 1= elementary school, 2= middle school, 3= high

Mother’s education
education school, 4= 2-year college, 5= 4-year college, 6=
level
level master degree, 7= doctoral degree

Intermediating Difficulties in
Variable Minimum=1, Maximum=5
understanding

Schooling Ineffectiveness of
dissatisfaction teaching Minimum=1, Maximum=5

Absence of
individualized Minimum=1, Maximum=5
teaching

College Importance of
Entrance overall quantitative Minimum=1, Maximum=5
System test scores

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Importance of
individual scores in
Minimum=1, Maximum=5
each and every
subject area
Private Monthly
Dependent
tutoring expenditure on Thousand won
Variable
expenditure private tutoring

Figure 2. The effects of the high school equalization policy and the college entrance system on
private tutoring expenditure with unstandardized path coefficients

It is hypothesized that the background variables directly impact the intermediating and
dependent variables. For example, the high school equalization policy variable indicates a higher
level of schooling dissatisfaction and private tutoring expenditure. It is also hypothesized that

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Hyunjin Kim

the intermediating variables (schooling dissatisfaction and the college entrance system), affected
by the background variables, directly impact the private tutoring expenditure variable.
The research model in this study has a 183.9 chi-square value with 23 degrees of freedom, χ2
(23, N = 833) = 183.9, p < .05 and has the following fit indices: CFI = .913, GFI = .965, IFI
= .914, NFI = .903, and RMSEA = .092. The model in this study has a reasonable model-data-
fit.
The model in this study illustrates that SES, region, mother’s education level, and schooling
dissatisfaction have statistically significant impacts on private tutoring expenditure.
The value of the unstandardized path coefficient to private tutoring expenditure from the
SES variable is 44.24 with a t-value of 6.087; from the region variable, the value is 40.09 with a t-
value of 4.766; from the mother’s education level variable, it is 35.62 with a t-value of 3.121; and
from the schooling dissatisfaction variable, it is 46.61 with a t-value of 2.025.
Statistically, a one-unit increase in income level is significantly associated with an average
increase of 44,240 won in monthly private tutoring expenditure. That same unit of increase in
the urbanization level of a residence area is associated with an average increase of 40,090 won,
the same increase in the mother’s education level is associated with an average increase of
35,620 won, and the same increase in the level of parents’ dissatisfaction with public education is
associated with an average increase in monthly expenditure of 46,610 won.
These results tell us that, contrary to the hypothesis, the direct effect of the high school
equalization policy on private tutoring expenditure turned out to be a negative relation. However,
the relationship was not statistically significant. As was argued in the previous chapter, the direct
effect of college entrance system on private tutoring expenditure turned out to be a positive
relation. However, this relationship was also not statistically significant. The following table
presents the estimates of paths to the dependent variable.

Table 6. Estimates of the paths to the dependent variable

Paths to Private Tutoring Unstandardized Coefficient Standardized
T-value
Expenditure (unit: thousand won) Coefficient
High school equalization policy -4.859 -.008 -.209
SES 44.236 .212 6.087**
Region 40.092 .182 4.766**
Father’s education level 17.274 .074 1.762
Mother’s education level 35.624 .134 3.121**
Schooling dissatisfaction 46.615 .079 2.025*
College entrance system 39.611 .057 1.822
** p< .01, * p< .05

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 Analyzing the Effects of the High School Equalization Policy and the College Entrance System on Private Tutoring Expenditure in Korea

The following variables have significant impacts on private tutoring expenditure in this order:
SES, region, mother’s education level, and schooling dissatisfaction. xix The following table
presents the estimates of paths to the schooling dissatisfaction variable.

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Hyunjin Kim

Table 7. Estimates of the paths to schooling dissatisfaction

Unstandardized Standardized
Paths to Schooling dissatisfaction T-value
Coefficient Coefficient
High school equalization policy .027 .026 .515
SES .009 .024 .525
Region .029 .078 1.508
Father’s education level -.036 -.090 -1.582
Mother’s education level .035 .078 1.349
** p< .01, * p< .05

The results indicate that none of the variables have a statistically significant effect on the
schooling dissatisfaction variable. The following table presents the estimates of paths to the
college entrance system variable.

Table 8. Estimates of the path to college entrance system

Unstandardized Standardized
Paths to College entrance system T-value
Coefficient Coefficient
High school equalization policy -.047 -.054 -1.074
SES .021 .068 1.304
Region .006 .018 .422
Father’s education level .023 .070 1.189
Mother’s education level -.016 -.041 -.802
** p< .01, * p< .05

The results indicate that none of the variables have a significant effect on the college entrance
system variable. Table 9 presents the direct, indirect, and total effects of each variable on private
tutoring expenditure.
A one level increase in income level has a total effect of a 45,455 won increase in private
tutoring expenditure per month, with a direct effect of 44,236 won and an indirect effect of
1,219 won through intermediating variables. For urbanization level, a one level increase results
in a total increase of 41,675 won, with a direct effect of 40,092 won and an indirect effect of
1,584 won. And the same level of increase for mother’s education level has a total increase of
36,648 won, with a direct effect of 35,624 won and an indirect effect of 1,024 won.
The high school equalization policy has a total effect of a 5,461 won decrease in private
tutoring expenditure per month, contrary to the hypothesis. However, the relationship is not
statistically significant, so the effect of the high school equalization policy on private tutoring
expenditure is not conclusive.

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 Analyzing the Effects of the High School Equalization Policy and the College Entrance System on Private Tutoring Expenditure in Korea

Table 9. Direct, indirect, and total effects on the dependent variable

(unit: thousand won)

Variables Direct Effect Indirect Effect Total Effect

High school equalization policy -4.859 -.602 -5.461
SES** 44.236 1.219 45.455
Region** 40.092 1.584 41.675
Father’s education level 17.274 -.730 16.543
Mother’s education level** 35.624 1.024 36.648
Schooling dissatisfaction* 46.615 .000 46.615
College entrance system 39.611 .000 39.611
** p< .01, * p< .05

The college entrance system has a direct effect of only a 39,611 won increase in private
tutoring expenditure. A one level increase in parents’ perception of the college entrance system
as test-score oriented is related to an average increase of 39,611 won in private tutoring
expenditure per month. However, this relationship is also not statistically significant, so the
effect of the college entrance system on private tutoring expenditure is not conclusive.

4. Conclusion

The purpose of this study is to investigate the effects of the high school equalization policy
and the college entrance system on private tutoring expenditure in Korea with the inclusion of
relevant background variables. ‘SES,’ ‘region,’ ‘father’s education level,’ ‘mother’s education
level,’ and ‘high school equalization policy’ are referred to as the independent variables.
‘Schooling dissatisfaction’ and ‘college entrance system’ are referred to as the intermediate
variables. ‘Private tutoring expenditure’ is referred to as the dependent variable.
The sample used in this study consisted of 833 high school parents. SPSS and AMOS
statistical software were used to analyze the data. The covariance structure modeling method
was applied in the analysis of the relations among measured independent variables, latent
intermediate variables, and a measured dependent variable.
The high school equalization policy is negatively related with private tutoring expenditure.
However, the path coefficient is not statistically significant. So, any conclusive direct relationship
between the high school equalization policy and private tutoring expenditure was not found.
The high school equalization policy is positively related with schooling dissatisfaction. However,
this relationship is not statistically significant either. Therefore, there was no empirical evidence
to argue that the high school equalization policy has an indirect effect on private tutoring

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Hyunjin Kim

expenditure through schooling dissatisfactionxx.

On the other hand, schooling dissatisfaction has a statistically significant positive relationship
with private tutoring expenditure. The more parents are dissatisfied with public education, the
more they rely on private tutoring. Schooling dissatisfaction is a significant symptom of
schooling failure. The results of this study tell us that schooling failure is strongly related with
increased reliance on private tutoring.
The college entrance system is also positively related with private tutoring expenditure.
However, the relationship is not statistically significant and thus inconclusive.
This study gives us the following findings:
First, the high school equalization policy does not have a direct effect on private tutoring
expenditure. The results of this study do not empirically support a policy measure to renovate
the high school equalization policy just to cut private tutoring expenditure.
Second, there was no evidence supporting the argument that the high school equalization
policy has an indirect effect on private tutoring expenditure through schooling dissatisfaction. It
is not conclusive that the high school equalization policy, the allocation of heterogeneous
students in the same classroom by a lottery system, increases students’ schooling dissatisfaction
levels.
Third, there was no support for the idea that the college entrance system’s emphasis on
quantitative test scores increased private tutoring expenditure. It is not conclusive that the
quantitative selection process is what drives students to private tutoring. The results of this
study do not empirically support a policy measure designed to reduce private tutoring
expenditure through the renovation of the college entrance system. In other words, more
qualitative evaluation of students in the selection process through the adoption of a student
portfolio method does not guarantee a reduction in private tutoring expenditure.
Fourth, the schooling dissatisfaction variable has significant effects on private tutoring
expenditure. If programs such as e-learning systems, small group instruction and learning
programs, and supplementary after-school programs work to increase the satisfaction level of
educational service, the policy measures will reduce private tutoring expenditure.
Fifth, background variables such as SES, residence area, and mother’s education level have
more effects on private tutoring expenditure than educational systems such as the high school
equalization policy and the college entrance system. An education welfare policy to reduce the
educational gap among groups is urgently needed. It is recommended that programs such as e-
learning systems, small group instruction and learning programs, and supplementary after-school
programs be offered to educationally disadvantaged groups at no charge.

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 Analyzing the Effects of the High School Equalization Policy and the College Entrance System on Private Tutoring Expenditure in Korea

i Baker et al. (2001) point out that private tutoring practices in Korea are used for further advancement rather than for

remediation.
ii The following are the 10 key measures, announced by the Ministry of Education & Human Resources Development

on Feb. 17, 2004, taken to reduce the amount of household spending on private tutoring: (1) to offer education through
e-learning programs or prep courses on the CSAT provided through the EBS TV channel & internet programs, (2) to
allow schools to hold different levels of supplementary lessons after school hours based on scholastic performance, (3)
to enrich extracurricular activity programs, (4) to operate after-school classes for young elementary school students
whose parents work and cannot afford to send their children to child care centers, (5) to recruit professional teachers
and adopt a diversified teacher evaluation system, (6) to remedy teaching and assessment methods, (7) to remedy the
current high school equalization policy and create a system of instruction based on student proficiency by separating
them into different school classes, (8) to remedy the college entrance system so that it places priority on high school
records and extracurricular activities while reducing its focus on CSAT scores, (9) to ensure a minimum level of
educational achievement, (10) to remedy our society and culture.
iii Kim & Choi (2004) recommended including a college entrance system variable to better understand the structure of

private tutoring expenditure.

iv Of private tutoring types, individual tutoring is the most expensive and self-study sheets are the cheapest. As private

tutoring is an expensive educational service, it is available only to the households who can afford it.
v In 1945, when Korea was liberated from Japanese colonial rule, Korea’s education system was in a poor state. Only

65% of primary school aged children were enrolled in school. The enrollment rate was less than 20% in secondary
schools. The Rhee Sung-man Korean government wanted to establish universal primary school education as quickly as
possible. In 1946, the interim government announced an ambitious plan that would make primary schooling universal.
Overall, the strong commitment for the expansion of primary education shown by Rhee’s Administration (1948-1960)
resulted in a remarkable expansion of quantity (Ministry of Education and Human Resources Development, 2003).
Consequently, the enrollment rate for elementary school rose steadily to more than 90% in 1965. By 1965, the goal of
universal primary school education had been more or less achieved (Ministry of Education and Human Resources
Development & KEDI, 2003).
vi When General Park rose to political power by a bloodless coup d'état in 1961, his primary policy objective was to

facilitate rapid economic growth through export promotion. In order to achieve this goal, the government started a
series of five-year economic development plans with strong government initiatives. The rising incomes resulting from
the successful economic growth plans and the expansion of elementary school graduates created a strong surge in
demand for secondary education.
vii It was pointed out that physical development of children improved due to the elimination of the middle school

examination.
viii Due to the middle school equalization policy, students’ academic quality differences among middle schools quickly

reduced. Although there were differences in the quality of schools facilities and teachers, they were not of any serious
concern compared to the quality differences in students’ academic achievement level.
ix The elimination of the middle school entrance examination allowed more elementary school graduates to advance to

middle schools.
x Under this policy, the competition entrance examination was replaced by random allocation through a lottery system.
xi The Park Administration increased the number of graduates from vocational schools to supply labor for repaid

industrialization. Thus, vocational high schools were excluded from the high school equalization policy so that they
would be able to recruit students more autonomously.
xii Coinciding with the rapid expansion of secondary education was massive rural-to-urban migration. Most of the

prestigious high schools were located in large cities, especially Seoul.

xiii For more information about the Korean college entrance system, please refer to KCUE. (2004). Comprehensive Guidance

of College Entrance System in 2005 School Year. Seoul: Korean Council for University Education.
xiv The actual proportion of high school record significance, excluding common scores, is less than 10%; it was 8.37% in

2001, 9.56% in 2002, and 9% in 2003. In addition, 92 colleges and universities (105 in 2004) utilized rank-status
assessment records, and 106 colleges and universities (87 in 2004) utilized criteria-referenced assessment records to make
admissions decisions in the 2005 school year. This tells us that the CSAT score is still the most important factor in
college admissions.
xv In the current college entrance system, students have 5 application chances; the first chance is the early-term recruit 1st

semester, the second chance is the early-term recruit 2nd semester, and the other three are regular-term recruits (divided
into A, B, and C groups). For the 2005 school year, 44.3% of students were selected during the early-term recruits, and
55.6% of students were selected during the regular-term recruits. 83.6% of special selection is administered during early-
term recruiting, whereas in regular-term recruiting, only 10.8% is administered as special selection, and 89.2% is
administered as general selection. High school records are the most important factor in early-term recruits, while test
scores, especially the CSAT score, are the most important factor in regular-term recruits.
xvi The main purpose of private tutoring is to prepare students for entrance exams. Private tutoring emphasizes test-

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Hyunjin Kim

taking skills while the formal school system may focus on broader educational objectives.
xvii As a preliminary step, data structure, internal reliability, and normality were analyzed, and paired samples t-test were

conducted with SPSS before the main analysis: the analysis of covariance structure. It was found that the sample data is
eligible for analysis of the covariance structure.
xviii This study has the following limitations related to the variable of region. The variable of region, indicating

urbanization level of residence area, measured by the monthly average amount of private tutoring expenditure is not
fully representing the characteristics of urbanization level. Another limitation is to use the region variable, urbanization
level of residence area, as a ratio variable.
xix The advantage of standardized results is that they provide information about the relative importance of a variable for

a given specific sample.

xx The results of this study on the relationship between the high school equalization policy and private tutoring

expenditure are in accordance with the analysis results of the study by Kim & Choi (2004).

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