All data sources indicate that black-white skill gaps diminished over most of the 20th century, but black-white skill gaps as measured by test scores among youth and educational attainment among young adults have remained constant or increased in absolute value since the late 1980s. I examine...

The model of job search involves both employer matches and career matches and incorporates an asymmetry in the search technology. Workers may change employers without changing careers, but cannot search over possible lines of work while working for one employer. The optimal policy implies a...

Many test-based accountability systems, including the No Child Left Behind Act of 2001 (NCLB), place great weight on the numbers of students who score at or above specified proficiency levels in various subjects. Accountability systems based on these metrics often provide incentives for teachers...

Using data from the National Longitudinal Survey of Youth, this paper provides a detailed analysis of the effect of Catholic secondary schooling on high-school graduation rates and also examines Catholic schooling's effect on college graduation rates and future wages. The paper uses data from...

Several empirical regularities motivate most theories of the distribution of labor earnings. Earnings distributions tend to be skewed to the right and display a long right tail. The are leptokurtic (positive fourth cumulant) and have a fat tail. Mean earnings always exceed median earnings and...

A significant literature in demography and demographic history documents clear relationships between the supply of men with stable earnings and marriage rates among women. Wilson (1987) reasons that because single motherhood is an alternative to traditional marriage, circumstances that impede...

Taken as a whole, the literature on black-white wage inequality suggests that racial gaps in potential wages are much larger among men than women, and further that one can accurately assess black-white gaps in potential wages among women without accounting for black-white differences in patterns...

Education officials often use one assessment system both to create measures of student achievement and to create performance metrics for educators. However, modern standardized testing systems are not designed to produce performance metrics for teachers or principals. They are designed to...

We analyze an incentive pay scheme for educators that links educator compensation to the ranks of their students within appropriately defined comparison sets, and we show that under certain conditions this scheme induces teachers to allocate socially optimal levels of effort to all students....

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...