Read the following passage from historian Niall Ferguson’s latest Newsweek column, and you might expect to him to support Wake County schools’ old program of forced busing for diversity.

A compelling explanation for our increasingly rigid social system is that American public education is failing poor kids. One way it does this is by stopping them from getting to college. If your parents are in the bottom quintile, you have a 19 percent chance of getting into the top quintile with a college degree—but a miserable 5 percent chance without one.

Your ZIP code can be your destiny, because poor neighborhoods tend to have bad schools, and bad schools perpetuate poverty.

But don’t stop there. Read the rest of the column.

But the answer is not to increase spending on this failed system—nor to expand it at the kindergarten level, as proposed by Nicholas Kristof in The New York Times last week. As brave reformers like Eva Moskowitz know, the stranglehold exerted by the teachers’ unions makes it almost impossible to raise the quality of education in subprime public schools.

The right answer is to promote the kind of diversity and competition that already make the American university system the world’s best. And one highly effective way of doing this is by setting up more charter schools—publicly funded but independently run and union-free. The performance of the Success Charter Network speaks for itself. In New York City’s public schools, 60 percent of third, fourth, and fifth graders passed their math exams last year. The figure at Harlem Success was 94 percent.

The American Dream is about social mobility, not enforced equality. It’s about competition, not public monopoly. It’s also about philanthropy, not confiscatory taxation.