"Offers an analysis of the promise and controversy around teacher pay for performance. Identifies potential strengths and weaknesses of performance-driven compensation policies and addresses key conceptual and implementation issues that have dominated the debate surrounding teacher compensation...

[...]As we documented in a longer version of this paper (Triplettand Bosworth forthcoming), labor productivity growth in theservices industries after 1995 was a broad acceleration, not justconfined to one or two industries, as has sometimes beensupposed. Using the 1977-95 period as the base, we...