This article reviews the trend of distribution of educational resources in compulsory educational level in the Taiwan area from fiscal year 1986 to 1995. The statistics reviewed are the following: the demography in the compulsory educational level, the total educational investments in the whole nation, the expenditure structure among three levels of govenment, the percentages of educational expenditure in various levels of government expenditure, the percentage of compulsory education's expenditure in the total educational expenditure, the educational expenditure per student in various levels of education, the educational subsidy for compulsory education to the county government, and the tuition and textbook fees in the compulsory education level. Based on the above statistics, this article analyzed the underlying problems of educational resource distribution, focusing on the compulsory level. The main issues addressed are: the role played by the central government in the compulsory educational system of finance, the question raised by the code 164 of Constitution, the triple counting of subsidy to compulsory education, the distribution of subsidy to compulsory education, the financing formula of subsidy to compulsory education, the financing problem brought by local autonomy, the inequality of resource distribution in the compulsory education level, and student choice in the compulsory educational level. Finally, this article gives the following suggestions: to liberalize the school finance system, to realize local autonomy in school finance system, to implement direct subsidy for students, and to take good care of disadvantaged students.