338 THE FISCAL PROBLEM IN MISSOURI
to the following objections: (1) It assumes that a local tax
rate of $0.20 per $100 of assessed valuation is a satisfactory
basis for an equalization program; (2) it assumes that a
levy of $0.20 per $100 is equivalent to collections of that
amount; (3) the problem is not approached from the stand-
point of the one-room districts, the elimination of which is
perhaps the greatest need; (4) it is based in part upon the
shifting of tax burdens; and (5) it represents an untried
program of school finance in Missouri.
Analysis of the present situation in respect to school ex-
penditures and school needs indicates that the following
factors should be considered in any carefully planned ap-
proach to the problem of public school finance: (1) The
differences in the economic status in the several sections of
the state; (2) the shift in population from the rural com-
munities to urban centers; (3) the problem of the one-room
rural districts; (4) the value of local initiative in school
affairs; (5) the difficulty of using assessed valuation as a
basis for equalization of educational opportunities; and (6)
the desirability of approaching the problem from the stand-
point of need. Consideration of these factors points to the con-
clusion that the most obvious approach to the problem of
public school finance appears to be through a process of
consolidation and redistricting.
As a basis for such a program the superintendent of
schools in each county could prepare a map showing the
present district lines in the county and also possible enlarged
districts. Also, the county superintendent could make
available to the school authorities of the state such informa-
tion as he might have concerning the attitude in the county
toward consolidation and redistricting. Such information
would enable the county superintendents and the state school
authorities to work out a program for redistricting and con-
solidation.
Financing THE CaPiTAL REQUIREMENTS OF THE STATE
The problem of financing the capital requirements of the
state involves consideration of the comparative advantages
of a pay-as-you-go policy as compared with borrowing. The
