This chapter analyzes the design of incentive schemes in education while reviewing empirical studies that evaluate performance pay programs for educators. Several themes emerge. First, it is difficult to use one assessment system to create both educator performance metrics and measures of...

This paper estimates the marginal returns to college for individuals induced to enroll in college by different marginal policy changes. The recent instrumental variables literature seeks to estimate this parameter, but in general it does so only under strong assumptions that are tested and found...

Households "sort" across neighborhoods according to their wealth and their preferences for public goods, social characteristics, and commuting opportunities. The aggregation of these individual choices in markets and in other institutions influences the supply of amenities and local public...

The time that children spend in school varies across countries. Do these differences explain international gaps in pupils' academic achievements? In this paper, I estimate the effects of instructional time on students' achievement using PISA 2006 data, which includes data samples from over 50...

Many large urban school districts are rethinking their personnel management strategies, often giving increased control to schools in the hiring of teachers, reducing, for example, the importance of seniority. If school hiring authorities are able to make good decisions about whom to hire, these...

Using longitudinal elementary school teacher and student data, we document that students have larger test score gains when their teachers experience improvements in the observable characteristics of their colleagues. Using within-school and within-teacher variation, we further show that a...

Friedman (1962) argued that a free market in which schools compete based upon their reputation would lead to an efficient supply of educational services. This paper explores this issue by building a tractable model in which rational individuals go to school and accumulate skill valued in a...

In this paper, we illustrate a methodology to measure discrimination in educational contexts. In India, we ran an exam competition through which children compete for a large financial prize. We recruited teachers to grade the exams. We then randomly assigned child "characteristics" (age, gender,...

In Trinidad and Tobago students are assigned to secondary schools after fifth grade based on achievement tests, leading to large differences in the school environments to which students of differing initial levels of achievement are exposed. Using both a regression discontinuity design and...