Estimating Peer Effects in Swedish High School using School, Teacher, and Student Fixed Effects
AbstractIn this paper I use a rich dataset in order to observe each student over time in different subjects and courses. Unlike most peer studies, I identify the peers and the teachers that each student has had in every classroom. This enables me to handle the simultaneity and selection problems, which are inherent in estimating peer effects in the educational production function. I use a value-added approach with lagged peer achievement to avoid simultaneity and extensive fixed effects to rule out selection. To be specific, it is within-student across-subject variation with additional controls for time-invariant teacher characteristics that is exploited. Moreover, I identify students that are attending classes in which they have no peers from earlier education which otherwise could bias the result. I find positive peer effects for the average student but also that there is a non-linear dimension. Lower-achieving students benefit more from an increase in both mean peer achievement and the spread in peer achievement within the classroom than their higher-achieving peers.
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Bibliographic InfoPaper provided by Swedish Institute for Social Research in its series Working Paper Series with number 8/2007.
Length: 28 pages
Date of creation: 07 May 2007
Date of revision:
Economics of education; Peer effects;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-07-13 (All new papers)
- NEP-EDU-2007-07-13 (Education)
- NEP-HRM-2007-07-13 (Human Capital & Human Resource Management)
- NEP-SOC-2007-07-13 (Social Norms & Social Capital)
- NEP-URE-2007-07-13 (Urban & Real Estate Economics)
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- Böhlmark, Anders & Lindahl, Mikael, 2007. "The Impact of School Choice on Pupil Achievement, Segregation and Costs: Swedish Evidence," IZA Discussion Papers 2786, Institute for the Study of Labor (IZA).
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