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Teacher quality policy when supply matters

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  • Jesse Rothstein

    ()
    (University of California, Berkeley)

Abstract

Recent proposals would strengthen the dependence of teacher pay and retention on performance, in order to attract those who will be effective teachers and repel those who will not. I model the teacher labor market, incorporating dynamic self-selection, noisy performance measurement, and Bayesian learning. Simulations indicate that labor market interactions are important to the evaluation of alternative teacher contracts. Typical bonus policies have very small effects on selection. Firing policies can have larger effects, if accompanied by substantial salary increases. However, misalignment between productivity and measured performance nearly eliminates the benefits while preserving most of the costs.

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Bibliographic Info

Paper provided by Institut d'Economia de Barcelona (IEB) in its series Working Papers with number 2012/35.

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Length: 65 pages
Date of creation: 2012
Date of revision:
Handle: RePEc:ieb:wpaper:2012/6/doc2012-35

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Related research

Keywords: Teacher quality; pay-for-performance; labor supply;

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References

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  1. Donald Boyd & Hamilton Lankford & Susanna Loeb & James Wyckoff, 2011. "Teacher Layoffs: An Empirical Illustration of Seniority versus Measures of Effectiveness," Education Finance and Policy, MIT Press, vol. 6(3), pages 439-454, July.
  2. Esther Duflo & Rema Hanna & Stephen P. Ryan, 2012. "Incentives Work: Getting Teachers to Come to School," American Economic Review, American Economic Association, vol. 102(4), pages 1241-78, June.
  3. Jerome Adda & Christian Dustmann & Costas Meghir & Jean-Marc Robin, 2006. "Career progression and formal versus on-the-job training," IFS Working Papers W06/16, Institute for Fiscal Studies.
  4. Frederick Flyer & Sherwin Rosen, 1994. "The New Economics of Teachers and Education," NBER Working Papers 4828, National Bureau of Economic Research, Inc.
  5. Scott E. Carrell & James E. West, 2010. "Does Professor Quality Matter? Evidence from Random Assignment of Students to Professors," Journal of Political Economy, University of Chicago Press, vol. 118(3), pages 409-432, 06.
  6. Campbell, Donald T., 1979. "Assessing the impact of planned social change," Evaluation and Program Planning, Elsevier, vol. 2(1), pages 67-90, January.
  7. Baker, George P, 1992. "Incentive Contracts and Performance Measurement," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 598-614, June.
  8. Brian A. Jacob & Steven D. Levitt, 2003. "Rotten Apples: An Investigation of the Prevalence and Predictors of Teacher Cheating," NBER Working Papers 9413, National Bureau of Economic Research, Inc.
  9. Jesse Rothstein, 2009. "Student sorting and bias in value added estimation: Selection on observables and unobservables," NBER Working Papers 14666, National Bureau of Economic Research, Inc.
  10. Ballou, Dale, 1996. "Do Public Schools Hire the Best Applicants?," The Quarterly Journal of Economics, MIT Press, vol. 111(1), pages 97-133, February.
  11. Jonah E. Rockoff & Brian A. Jacob & Thomas J. Kane & Douglas O. Staiger, 2011. "Can You Recognize an Effective Teacher When You Recruit One?," Education Finance and Policy, MIT Press, vol. 6(1), pages 43-74, January.
  12. Alan B. Krueger, 1999. "Experimental Estimates Of Education Production Functions," The Quarterly Journal of Economics, MIT Press, vol. 114(2), pages 497-532, May.
  13. Charles T. Clotfelter & Helen F. Ladd & Jacob L. Vigdor, 2007. "How and Why do Teacher Credentials Matter for Student Achievement?," NBER Working Papers 12828, National Bureau of Economic Research, Inc.
  14. Keane, Michael P & Wolpin, Kenneth I, 1997. "The Career Decisions of Young Men," Journal of Political Economy, University of Chicago Press, vol. 105(3), pages 473-522, June.
  15. Douglas O. Staiger & Jonah E. Rockoff, 2010. "Searching for Effective Teachers with Imperfect Information," Journal of Economic Perspectives, American Economic Association, vol. 24(3), pages 97-118, Summer.
  16. Sean P. Corcoran & William N. Evans & Robert M. Schwab, 2004. "Changing Labor-Market Opportunities for Women and the Quality of Teachers, 1957-2000," American Economic Review, American Economic Association, vol. 94(2), pages 230-235, May.
  17. Roland G. Fryer, 2011. "Teacher Incentives and Student Achievement: Evidence from New York City Public Schools," NBER Working Papers 16850, National Bureau of Economic Research, Inc.
  18. Raj Chetty & John N. Friedman & Jonah E. Rockoff, 2011. "The Long-Term Impacts of Teachers: Teacher Value-Added and Student Outcomes in Adulthood," NBER Working Papers 17699, National Bureau of Economic Research, Inc.
  19. Roland G. Fryer, Jr & Steven D. Levitt & John List & Sally Sadoff, 2012. "Enhancing the Efficacy of Teacher Incentives through Loss Aversion: A Field Experiment," NBER Working Papers 18237, National Bureau of Economic Research, Inc.
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Cited by:
  1. Goldhaber, Dan & Cowan, James & Walch, Joe, 2013. "Is a good elementary teacher always good? Assessing teacher performance estimates across subjects," Economics of Education Review, Elsevier, vol. 36(C), pages 216-228.
  2. Thomas Dee & James Wyckoff, 2013. "Incentives, Selection, and Teacher Performance: Evidence from IMPACT," NBER Working Papers 19529, National Bureau of Economic Research, Inc.

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