Why do state universities produce more teachers than private universities?

I don't know if this will totally answer your question, but private schools may just be more specialized in certain areas. In addition, there are just more state colleges and universities than there are private institutions.

State institutions are more likely to have an education department because states are charged with providing education to their citizens. Therefore, it makes sense that the state, through the state institution, would train the teachers it needs to provide that education. Private schools feel no need to train the teachers for the state. In addition, state institutions are more likely to be larger than private institutions and have the resources for more departments, including of course, the education department.

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