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Many inputs go into the costs behind a blended-learning school: the number of teachers and administrators; their specific salaries; the instructional materials and technologies; student services; and other school operations.

The paper reaches the conclusion that the costs of blended learning are significantly lower than the $10,000 national average for traditional brick-and-mortar schools. They find that, on average, the costs range from $7,600 to $10,200.

Our own view is that blended learning will and should help schools--and ultimately the public--save money. But the overriding reason to adopt a blended-learning school isn't because of its cost savings, but instead because of the benefits for students that can result. Ultimately blended learning should help schools and policymakers move our education system to a student-centric one that educates children both more effectively and efficiently.

There's been some dispute to these numbers. Lee Wilson, a veteran of the education industry, blogged exhaustively that Apple e-textbooks actually cost six-to-seven times more than print textbooks. Using estimated data from his own experience and from technology directors, he determined Apple textbooks cost $71.55 per student, per class, as opposed to $14.26 for print textbooks. He factored purchase of the devices into cost. (I urge you to read his post, and his follow-up, and judge the numbers yourself.)

Either way, if the price tag for iPads and e-textbooks ends up being too costly and districts aren't seeing much of a different from their print past, meeting Arne Duncan's digital textbook goals may be tough.

Number of Graphics and Multimedia elements Levels of Interactivity Instructional Designer and Subject Matter Expert Time

One reason why paper textbooks cost so much is because publishers need to recover their costs of producing new books in the first or second semester, Brady said. That's because the books end up in the used book market after that time, where publishers don't get a cut. And digital textbooks have kept a similar high-priced model, he said, which encourages students to break the encryption on them or stick with paper books because they can sell them back.

And videos, of course, can't be printed.

By using the HTML5 online content language, Brady hopes to give students cheaper instructional books that will give them all their material in one place. And the material will be updated in near real time.

1.Rapid growth in for-profit post-secondary

2.Expanded online learning offerings

3.Massively open online courses (MOOC)

Thoughtful commentators agree (as noted in June) that the innovation economy requires two things: Growth oriented policies – low tax rates, transparent and efficient government – and An opportunity platform that includes effective education and health services and efficient energy and transportation infrastructure.

You could probably add culture of confidence to round out the innovation formula: opportunity, incentive, and culture.

We need everyone starting something! Therefore, we should aspire to be the world’s best launching pad because our workforce is so productive; our markets the freest and most trusted; our infrastructure and Internet bandwidth the most advanced; our openness to foreign talent second to none; our funding for basic research the most generous; our rule of law, patent protection and investment-friendly tax code the envy of the world; our education system unrivaled; our currency and interest rates the most stable; our environment the most pristine; our health care system the most efficient; and our energy supplies the most secure, clean, and cost-effective.