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Institutional Effects in a Simple Model of Educational Production Author info | Abstract | Publisher info | Download info | Related research | Statistics Bishop, John H. (Cornell University)
Woessmann, Ludger () (Kiel Institute for World Economics and IZA, Bonn)
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The paper presents a model of educational production which tries to make sense of recent evidence on effects of institutional arrangements on student performance. In a simple principal-agent framework, students choose their learning effort to maximize their net benefits, while the government chooses educational spending to maximize its net benefits. In the jointly determined equilibrium, schooling quality is shown to depend on several institutionally determined parameters. The impact on student performance of institutions such as central examinations, centralization versus school autonomy, teachers' influence, parental influence, and competition from private schools is analyzed. Furthermore, the model can rationalize why positive resource effects may be lacking in educational production.
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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number
484.
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Length: 37 pages
Date of creation: Apr 2002Date of revision:
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Keywords: educational production ; principal-agent model ; institutions of the education system ; Other versions of this item:
Find related papers by JEL classification: I20 - Health, Education, and Welfare - - Education - - - General L32 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Enterprises H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
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