Secondary schools in the developed world differ in the degree of differentiation and in the first age of selection of pupils into different tracks. In this paper, we account for the heterogeneity of tracking time with a simple stochastic model which conjugates the returns from specialization...

According to the standard principal-agent model, the optimal composition of pay should balance the provision of incentives with the individual demand for insurance. Do income taxes alter this balance? We show that the relative share of PRP on total pay is reduced by higher average taxes, and is...

"There is substantial cross-country variation in secondary school design, with some countries tracking students into different ability schools very early, and other countries with little or no tracking at all. Does tracking length affects school performance, as measured by standardized test...