Ammermüller, Andreas; Pischke, Jörn-Steffen - 2006
characteristics and
extraneous effects on the class, like unobserved teacher quality. Boozer and Cacciola (2001)
and Graham (2004 … arise whenever cov(η
cs,
µ
cs
) ≠ 0. Estimates of both β and λ will therefore
be biased in the estimation of equation (2 … within school estimation to work is,
of course, that there is sufficient variance in peer composition of a class room within …
