Charter schools are one of the newest, most frequent, and controversial app
roaches to introducing parental choice and competition in educational syste
ms. The policy questions raised by charter schools involve not only organiz
ational and management concerns but also key issues of governance. This art
icle examines how the theories arguments, and findings of earlier studies o
n the use of other marker mechanisms in local governance may inform the cur
rent debate about charter schools. By highlighting the presuppositions and
results of the local government reform experience, the authors conclude tha
t the use of market mechanisms like charter schools should be approached wi
th caution.