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Recovering Distributions in Difference-in-Differences Models: A Comparison of Selective and Comprehensive Schooling

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  • Stéphane Bonhomme

    (CEMFI, Madrid)

  • Ulrich Sauder

    (University of Warwick)

Abstract

We compare the effects of selective and nonselective secondary education on children's test scores, using British data from the National Child Development Study. Test scores are modeled as the output of an additive production function. An important input is the child's unobserved initial endowment, which may be correlated with the education system attended. In this model, we generalize the difference-in-differences approach and identify the entire counterfactual distribution of potential outcomes. Our results suggest that the better performance of selective schools relative to nonselective ones is essentially due to differences in pupils' composition. © 2011 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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Bibliographic Info

Article provided by MIT Press in its journal Review of Economics and Statistics.

Volume (Year): 93 (2011)
Issue (Month): 2 (May)
Pages: 479-494

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Handle: RePEc:tpr:restat:v:93:y:2011:i:2:p:479-494

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Cited by:
  1. Ricardo Mora & Iliana Reggio, 2012. "Treatment effect identification using alternative parallel assumptions," Economics Working Papers we1233, Universidad Carlos III, Departamento de Economía.
  2. Lechner, Michael, 2011. "The Estimation of Causal Effects by Difference-in-Difference Methods," Foundations and Trends(R) in Econometrics, now publishers, vol. 4(3), pages 165-224, November.
  3. Fan, Yanqin & Yu, Zhengfei, 2012. "Partial identification of distributional and quantile treatment effects in difference-in-differences models," Economics Letters, Elsevier, vol. 115(3), pages 511-515.

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