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Autonomy, Incentives, and School Performance: Evidence from the 2009 Autonomous Private High School Policy in Korea

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  • Park, Yoon Soo

Abstract

Improving the quality of school education is one of the key policy concerns in Korea. This paper examines whether providing schools with adequate autonomy and incentives can meet the policy goals by looking at a recent policy reform in Korea. In 2009, the Korean government granted autonomy to certain private high schools on the condition that no financial subsidies would be provided to the schools. Because the autonomous private high schools cannot receive a subsidy, they have a strong incentive to meet parental demands because schools failing to meet these demands will lose students and will have to close. Applying the value-added model to longitudinal data at the student level, I find that students entering these autonomous schools show faster growth in their academic achievement than their peers in traditional non-autonomous schools. These results suggest that providing schools with autonomy and incentives can be a useful policy tool for improving school education.

Suggested Citation

  • Park, Yoon Soo, 2016. "Autonomy, Incentives, and School Performance: Evidence from the 2009 Autonomous Private High School Policy in Korea," KDI Journal of Economic Policy, Korea Development Institute (KDI), vol. 38(3), pages 1-15.
    • Handle: RePEc:zbw:kdijep:v:38:y:2016:i:3:p:1-16
    DOI: 10.23895/kdijep.2016.38.3.1
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    References listed on IDEAS

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    1. Petra E. Todd & Kenneth I. Wolpin, 2007. "The Production of Cognitive Achievement in Children: Home, School, and Racial Test Score Gaps," Journal of Human Capital, University of Chicago Press, vol. 1(1), pages 91-136.
    2. Felipe Barrera-Osorio & Tazeen Fasih & Harry Anthony Patrinos & Lucrecia Santibáñez, 2009. "Decentralized Decision-making in Schools : The Theory and Evidence on School-based Management," World Bank Publications - Books, The World Bank Group, number 2632, December.
    3. Deockhyun Ryu & Changhui Kang, 2013. "Do Private Tutoring Expenditures Raise Academic Performance? Evidence from Middle School Students in South Korea," Asian Economic Journal, East Asian Economic Association, vol. 27(1), pages 59-83, March.
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    More about this item

    Keywords

    Autonomous Private High School; School Effect; Academic Achievement; School Autonomy; Secondary Education in Korea;
    All these keywords.

    JEL classification:

    • I20 - Health, Education, and Welfare - - Education - - - General
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

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